First things first, the United Arab Emirates (UAE) and Saudi Arabia are not banning the BlackBerry device produced by Research in Motion Limited (RIMM). What is being suspended is BlackBerry mobile services like e-mail and text messaging. The supposed ban will start in October.

This ban stems from a dispute between the UAE and RIM concerning RIM's encrypted data system. The system makes government monitoring of data more difficult. The problem for RIM is that such a move could be followed by other countries in the region, as Kuwait and Bahrain have also raised concerns over the data encryption.

Continue reading Service Cuts May Send BlackBerry Users in Middle East to RIM's Competitiors

Service Cuts May Send BlackBerry Users in Middle East to RIM's Competitiors originally appeared on BloggingStocks on Mon, 02 Aug 2010 11:40:00 EST. Please see our terms for use of feeds.

One of the things that really helps the U.S. balance of trade is weapons sales. In a recession, perhaps they should be encouraged more.

According to Reuters, Iran's Gulf neighbor, the United Arab Emirates, has signed a deal worth $3.3 billion to buy missiles from U.S. firm Raytheon (NYSE: RTN).

The Census Bureau reports that the October balance of trade was a negative $57 billion. A lot of that could be made up by selling missiles, tanks, rifles, and war planes. The Department of Defense has to approve most of the sales, but perhaps it should be annexed to the Department of the Treasury, at least until the recession is over. Some of the countries where a lot of sales are prohibited, like North Korea, could be added to the "OK to export weapons" list?

In September, The New York Times reported that "From tanks, helicopters and fighter jets to missiles, remotely piloted aircraft and even warships, the Department of Defense has agreed so far this fiscal year to sell or transfer more than $32 billion in weapons and other military equipment to foreign governments, compared with $12 billion in 2005." Up that number to $100 billion and think of the jobs it would create.

Weapons sales are not on the new Obama list of plans to create 2.5 million jobs by spending $800 billion. And, selling weapons does not cost the government at dime.

Douglas A. McIntyre is an editor at 247wallst.com.

Helping the economy by selling weapons originally appeared on BloggingStocks on Sat, 20 Dec 2008 11:40:00 EST. Please see our terms for use of feeds.

You know that an economic issue has jumped the shark when the New York Times's op-editoraliste Maureen Dowd (MoDo) devotes her Sunday column to it. What's unleashed MoDo's moxie is how Sovereign Wealth Funds (SWFs) -- those government investment funds estimated to control between $2 trillion and $15 trillion -- are buying up chunks of the U.S. banking system.

The problem against which MoDo rails is that thanks to the policies of George W. Bush, the price of oil has quadrupled and the dollar has plummeted -- thus putting the U.S. at the mercy of those Arabian SWFs whose owners he groveled to this week to lower the price of oil. And while W. was grovelling, so were the CEOs of Citigroup Inc. (NYSE: C) and Merrill Lynch & Co. (NYSE: MER) -- seeking capital to shore up their Collateralized Debt Obligation (CDO)-tarnished balance sheets. MoDo is right that with Bush's $2.4 trillion worth of wars and $1.3 trillion worth of tax cuts, the U.S. has gone from being the world's creditor to its debtor.

But another New York Times article sheds more light on the phenomenon of foreign investment in the U.S. -- suggesting that with their $414 billion worth of 2007 purchases in the U.S., foreign investors, including SWFs, spent a record amount of money buying up the U.S. last year -- up 90% from 2006. The Times suggests that this foreign investment comes in different forms -- some of which are beneficial. How so?

Continue reading Selling America to Arabia one bank at a time

Selling America to Arabia one bank at a time originally appeared on BloggingStocks on Sun, 20 Jan 2008 09:10:00 EST. Please see our terms for use of feeds.

The New York Times [registration] reports that the Carlyle Group and the NASDAQ Stock Market, Inc. (NASDAQ: NDAQ) are selling out to one of the countries -- United Arab Emirates -- from which two 9/11 hijackers -- Marwan al-Shehhi and Fayez Benihammad -- hailed.

Specifically, the government of Abu Dhabi, United Arab Emirates' capital, will buy 20% of Carlyle Group, valuing it at $20 billion. While yesterday, NASDAQ announced that is was selling 19.9% of itself to Borse Dubai, the Dubai government-controlled exchange.

But not a peep of protest is emerging from the White House. And why should it protest? This is the decade where it's better to be a barrel of oil -- or a country that sits on oil -- than to be an American. After all, the price of oil is up 242% to a record $82 a barrel since its January 2001 price of $24 a barrel. Meanwhile, since 2001, the median family income adjusted for inflation has stagnated. Bernanke's bailout has slashed the dollar to record low levels against the Euro -- and since oil is traded in dollars -- that means people who drive will be paying more than ever.

Continue reading Will Carlyle and NASDAQ (NDAQ) sell out to the enemy?

Will Carlyle and NASDAQ (NDAQ) sell out to the enemy? originally appeared on BloggingStocks on Fri, 21 Sep 2007 08:50:00 EST. Please see our terms for use of feeds.