domiciled
Definition
dom·i·ciled[ dómmi sld ]ADJECTIVE
1. resident somewhere: resident in a particular place ( formal )

My rudimentary understanding of what constitutes the prevailing exchange rate of currencies is that the four most important considerations in the rate include:
1. Economic and Political Factors: The Hague Six, Looming Elections hence rise in political risk, Famine in the horn of Africa etc.

2. Purchasing Power Parity: For the $ vs Ksh, what $ 1 buys in US is equivalent to what Ksh 99 buys in Kenya (Wonder wether this applies to real estate!!)

3. Short Term Supply and Demand of the currency: Rise in oil prices, Fall in Agricultural Exports etc (Could there be a case of dollars leaving Kenya for Swiss Accounts what with a change of guard in the horizon??)

4. Market Manipulation: This is where speculators and banks fall in.

Wonder which of the four factors above is predominantly responsible for the Ksh weakness???

Happy Hunting.

Looking forward to oil market de-coupling from the USD strength/weakness hoax & accepting the fact that its historic large consumers are now a lot receeded !! 60 dollar crude !!

That's for sure n that's why i'm calling $60 for them to atleast make a modest return and remain in production. I recall $40* crude during the GFC but I started "feeling" for them. $60-70 is fine and let it stay there for atleast 5yrs.

The KES fall is far from done! Goodluck CBK...

http://j.mp/qzr9Qu

If one was to look at the dollar rout on the emerging nation currencies this month, our EAC currencies are holding up well against the dollar blows!?

The Won, Singapore dollar, Rand & a number of commodity based econ currencies have take it on the chin esp the last 2 weeks.

I believe the markets are still in disbelief of the looming dollar squeeze. When it hits the fan, sizable global market selloff will be on cards leading to 'margin call central' as funds overcrowd the exit door in panic rush.
To unwind trades,
dollars are bought. That dollar index will rally past 90 if the squeeze is a giant margin call?! It wont be funny when it happens & commodities will be sold hard. @cde might get the $60 oil?

Margin call the movie was released recently. Watch it...

Update - http://af.reuters.com/ar...ws/idAFJOE78M08C20110923

Toothless dog CBK... Just verbal threats. Show us the weapons. Showing up to a gun fight with verbal threats is ridiculous to say the least...

http://www.businessdaily.../-/5otquxz/-/index.html

100.3 and heading towads 110. In inflation terms this implies we've imported an additional 20% inflation since MArch.
If this was South Korea, China, Indonesia, Brazil, they'd have brought fx/capital controls without a 2nd thought. Why is this? Because they understand fully that there is no such thing as a free market.
The professor is probably sat in his office busily googling Milton Friedman to see what he said about FX ABK

this will make Nakumatt the most expe supermarket in Kenya and also slowdown the importation of luxury/discretionary doodads.

In other news, Brent Crude down to USD103/barrel. Let's see if it will break below $100.

http://af.reuters.com/ar...s/idAFL5E7KP0XE20110926

CBK acting on the dollar is seen as hindrance to free market policies..