He then sacked the governors of five provinces where anti-regime protests have been raging, mostly in the regions that made former South Yemen. An official announcement said Saleh has removed the governors of Aden, Lahij and Abyan in the south, as well as Hadramut in the southeast and Hudayda in the west.

Saleh's opponents massed from early morning in streets leading to a square near Sanaa University, where students and pro-democracy demonstrators have been camped for more than a week."The people want Ali Abdullah Saleh to leave," the protesters chanted. "The people want to overthrow the regime." Many of the protesters marched in white shrouds reading: "Either we live happily or we die as martyrs."

Several opposition figures addressed the anti-government rally, including leading cleric Abdul Majeed al-Zendani, who is identified as a "global terrorist" by Washington. Zendani said that the protest movement sweeping the Arab world was "a new, effective, fast, and non-destructive means of changing regimes."

Consider this: When a South Korean wine wholesaler wants to import Chilean cabernet, the Korean importer buys US dollars, not pesos, with which to pay the Chilean exporter. Indeed, the dollar is virtually the exclusive vehicle for foreign-exchange transactions between Chile and Korea, despite the fact that less than 20% of the merchandise trade of both countries is with the US.

Chile and Korea are hardly an anomaly: Fully 85% of foreign-exchange transactions world-wide are trades of other currencies for dollars. What's more, what is true of foreign-exchange transactions is true of other international business. The Organization of Petroleum Exporting Countries sets the price of oil in dollars. The dollar is the currency of denomination of half of all international debt securities. More than 60% of the foreign reserves of central banks and governments are in dollars.

The greenback, in other words, is not just America's currency. It's the world's. But as astonishing as that is, what may be even more astonishing is this: The dollar's reign is coming to an end. I believe that over the next 10 years, we're going to see a profound shift toward a world in which several currencies compete for dominance. The impact of such a shift will be equally profound, with implications for, among other things, the stability of exchange rates, the stability of financial markets, the ease with which the US will be able to finance budget and current-account deficits, and whether the Fed can follow a policy of benign neglect toward the dollar.

In this new monetary world, moreover, the US government will not be able to finance its budget deficits so cheaply, since there will no longer be as big an appetite for US Treasury securities on the part of foreign central banks. Nor will the US be able to run such large trade and current-account deficits, since financing them will become more expensive.

My calculations suggest that the dollar will have to fall by roughly 20%. Because the prices of imported goods will rise in the US, living standards will be reduced by about 1.5% of GDP - $225 billion in today's dollars. That is the equivalent to a half-year of normal economic growth. While this is not an economic disaster, Americans will definitely feel it in the wallet. On the other hand, the next time the US has a real-estate bubble, we won't have the Chinese helping us blow it.

"President Obama," Farrakhan said, "if you allow the Zionists to push you, to mount a military offensive against Gaddafi and you go in and kill him and his sons, as you did with Saddam Hussein and his sons... I'm warning you this is a Libyan problem, let the Libyans solve their problem among themselves." Farrakhan called Muammar Gaddafi "my brother and my friend."

The Nation of Islam leader also accused American Zionists of attempting to push Israel into war with Iran, stating that "Zionists dominate the government of the United States of America and her banking system. Some of you think that I'm just somebody who's got something out for the Jewish people," Farrakhan said. "You're stupid. Do you think I would waste my time if I did not think it was important for you to know Satan? My job is to pull the cover off of Satan so that he will never deceive you and the people of the world again."

ADL National Director Abe Foxman said in response that, "Anti-Semitism has suffused the Nation of Islam's message, and Farrakhan is the standard bearer and bigot in chief... Perhaps what's more disturbing is that despite his anti-Semitic rants, he has not been made a pariah in his own community. What does it take for him to stop being a pied piper of hatred?"

American officials expressed concern about the statement of the cleric, Abdul Majid al-Zindani, a onetime mentor of Osama bin Laden, which introduced a new Islamist element to the turmoil in a country where Al Qaeda is viewed as a grave threat. The protests that toppled leaders in Tunisia and Egypt and that now have spread to Libya, Bahrain and Oman have been largely secular in nature.

Mr Zindani spoke on an open-air stage before several thousand antigovernment protesters, guarded by 10 men carrying AK-47s and shielded from the scorching sun by two umbrellas wielded by aides. "An Islamic state is coming," he said, drawing cries of "God is great" from some in the crowd. He said Mr Saleh "came to power by force, and stayed in power by force, and the only way to get rid of him is through the force of the people."

A collapse of the government in Yemen would pose a serious threat to Saudi Arabia, Yemen's far wealthier neighbor to the north, Mr Krajeski said. "If I'm sitting in Riyadh and looking south, I would be very, very worried," he said.

German President Wulff had planned to visit Bahrain this month to broaden the two countries' mutual relations. In light of the Bahraini repressive forces' disreputable massacre of demonstrators, the German president canceled his visit at the last minute. Bahrain has a particular importance to the West as a military base. Bahrain serves as a base for operations in Afghanistan and for the coordination of western military interventions off the coast of the Horn of Africa.

Germany is contributing to Bahrain's arms buildup, most recently with the delivery of submachine guns and ammunition, such as were recently used to suppress the protests. Over the next few days the Chairman of the US Joint Chiefs of Staff will be visiting the Gulf States to coordinate the next steps to be taken. As Saudi Arabia declared in connection with the upcoming visit, the Saudi government will intervene "with all its capabilities" to keep the al-Khalifah clan in power. This frees the West to apply the PR measure of calling for moderation toward the protests, without running the risk of losing its feudal partner regime.

Bahrain's significance for western geostrategic planning lies not so much in its oil deposits, which are much smaller than those of other Gulf monarchies and due to be depleted in about 25 years. It derives more from its role as a military base, since Great Britain began to construct its base in its protectorate in 1935. When Bahrain became independent and the British Navy withdrew in 1971, the US Navy took over the facilities. Today, it is the home of the US Fifth Fleet's headquarters, which has the task of insuring US control over the Middle East's regional resources and the maritime routes leading toward the Mediterranean. This assures Bahrain an important function not just in the US, but also in the German ruling concepts.

The assessment that Germany uses the military base in Bahrain and equips its military forces must be made more precise. Berlin - like Washington - cooperates with the al-Khalifah clan that has feudally ruled over the island nation since 1783. Bahrain had belonged to the Persian Empire, until the island was conquered in the 18th century by the clan currently in power. Even today, seventy percent of Bahrain's citizens are Shiite Muslims, whose base of power is in Iran.

The chairman of the Moscow Patriarchate's Department of External Church Relations noted that "today there is a bad need for a 'strategic alliance' between Orthodox believers and Catholics, members of the ancient eastern Churches, traditional Protestants, that is to say all those who defend true Christian values - the family, children's upbringing, indissolubility of marriage, the value of human life from inception until death," Interfax reported Monday.

He noted that these values are being "totally reviewed, and we must oppose this. Otherwise," the Orthodox leader said, "both Russia and the Christian civilization in general will over [not so much] time lose their 'salt,' lose their image and remain just a subject of study for historians and archeologists." As a solution to these problems, he underlined an initiative by Patriarch Kirill that aims to fight abortion, support families with many children, help orphans and pass new legislation to protect families and youth.

The withdrawal of the ban on Ennahda was one of the demands raised by protesters who brought down the unpopular government headed by former President Zine al-Abidine Ben Ali. Ennahda's supremo Rachid Ghannouchi returned to the country only last month after living in exile abroad for over 20 years. The 69-year old was greeted on his arrival by legions which showed the group's wide acceptability among the Tunisian people.

It was on the lines of Egypt's Muslim Brotherhood that Ennahda was founded by Ghannouchi in 1981. But Ghannouchi has been quoted in media reports as saying that the Islamists had no plans to field a candidate for the post of President.

Protestors are mainly Shiites, which account for about 70% of the Bahraini population, who have long complained of discrimination and other abuses by the Sunni Khalifa dynasty that has ruled the tiny Gulf nation for more than two centuries. In the worst unrest in the kingdom since the 1990s, a wave of protests swept across Bahrain in the past weeks. At least six people were killed and hundreds injured in clashes with police.

Opposition threatens to hold more protests and a nationwide strike if the government refuses to resign.

These assets appear to be just the tip of the iceberg, as no one is yet certain exactly what the family owns around the world. But they include an enormous portfolio of properties in the West End theatre and shopping district of London - worth $455 million (280 million pounds) as well as $325 million (200 million pounds) in shares in Pearson, the owner of the Financial Times and Penguin books.

The assets also include a $15 million luxury mansion in an affluent suburb of North London. It was bought mortgage-free by Capitana Seas Ltd, a holding company registered in the British Virgin Islands and owned by Gaddafi's most high-profile son, Saif. Residents in the neighbourhood have been campaigning to oust Saif, a former student of the London School of Economics, who acquired the property in 2009. Dr Saul Zadka has been leading the community action, and described how he did not want to 'live next to a mass murderer, even though he became a very acceptable figure among the British high society and political echelons'.

It is thought that the family's assets in Britain could exceed $10 billion, as some are owned by the Libyan Investment Authority, a sovereign wealth fund, rather than the ruling household. As well as freezing the Gaddafi family's assets, Britain has signed an order prohibiting the export of uncirculated Libyan banknotes without a licence.

The report also suggests the British government's stated purpose for having troops in Afghanistan - to protect UK national security - may have been achieved "some time ago" because al-Qaeda's strength in the country appeared limited. But there were also a "number of risks" in the UK's aim of withdrawing combat troops by 2015, it added. David Cameron has promised to be an "all-weather friend" to Afghanistan.

The prime minister said on Tuesday that the country had a "strong" relationship with the UK and that change would involve a "political process". The government has said it wants British combat troops to leave Afghanistan by 2015 and, last month, Defence Secretary Liam Fox suggested some of the 10,000 personnel could come home this year if "conditions on the ground" were suitable.

The plan to end "discarding", announced by the EU fisheries commissioner, Maria Damanaki, after the first ever high-level summit on the practice, had the support of several member states including the UK, France, Germany and Denmark. Some fishermen's representatives opposed the move as "kneejerk" and "heavy-handed", but it is now highly likely to become European policy, perhaps within two years, although the details still need to be hammered out.

Damanaki told the summit: "I consider discarding of fish unethical, a waste of natural resources and a waste of fishermen's effort. But I would like to go further - since our stocks are declining, these figures are not justifiable anymore." Fishermen are driven to discard fish under the current quota systems because they can only legally bring home a certain quantity of the species they are allocated.

When they catch too many, or accidentally net fish for which they do not have a quota, they must dump the excess. As a result, as much as two-thirds of the fish caught in some areas are thrown back into the water, usually dead. About 1 million tonnes are estimated to be thrown back each year into the North Sea alone. John Sauven, executive director of Greenpeace UK, said: "According to Scotland's fishing minister, 40 million pounds worth of fish a year are thrown away by Scottish fishermen alone."

The US deployed naval and air force units around the country and Britain's prime minister, David Cameron, ordered contingency plans for a no-fly zone. The US ambassador to the UN, Susan Rice, also criticised Gaddafi as "unfit to lead" and "disconnected from reality" after the Libyan leader, speaking to news organisations including the BBC, mocked his opponents. "All my people love me. They would die to protect me," he said.

Gaddafi laughed when asked if he would step down. "As if anyone would leave their homeland," he replied, accusing western leaders of betrayal and of having "no morals". Gaddafi's remarks were met with derision in Washington. Rice said his assertion that his regime is not using force against its own people was "delusional" and that his behaviour, which has included laughing on camera in interviews, "underscores how unfit he is to lead and how disconnected he is from reality".

The judges underlined that, in the case of fostering arrangements at least, the right of homosexuals to equality "should take precedence" over the right of Christians to manifest their beliefs and moral values. In a ruling with potentially wide-ranging implications, the judges said Britain was a "largely secular", multi-cultural country in which the laws of the realm "do not include Christianity".

Campaigners for homosexual rights welcomed the judgment for placing "21st-century decency above 19th-century prejudice". Christian campaigners claimed that it undermined the position of the Church of England. The ruling in the case of Owen and Eunice Johns, from Derby, is the latest in a series of judgments in which Christians have been defeated in the courts for breaching equality laws by manifesting their beliefs on homosexuality.

In their ruling yesterday, the judges complained that it was not yet "well understood" that British society was largely secular and that the law has no place for Christianity. "Although historically this country is part of the Christian West, and although it has an established church which is Christian, there have been enormous changes in the social and religious life of our country over the last century," they said. It was a "paradox" that society has become simultaneously both increasingly secular and increasingly diverse in religious affiliation, they said. "We sit as secular judges serving a multicultural community of many faiths. We are sworn (we quote the judicial oath) to 'do right to all manner of people after the laws and usages of this realm, without fear or favour, affection or ill will'."

Saudi Arabia pumps about 9 million barrels of crude oil a day, or one-ninth of world production. The kingdom is the only oil exporter with what is known as swing capacity, or the ability to single-handedly offset the loss of production in any other OPEC country, thereby temporarily stabilizing the oil price.

In addition, Saudi Arabia, a state that is a few years younger than its geriatric king, is on the verge of a major dynastic change. Until now, all of the men who have ruled the country since the death of its founder Ibn Saud in 1953 have been his sons. Even the youngest of those sons is now 65. It is only a question of time before the line of succession goes to the second generation - and a question of which of the roughly 20 sons still alive has enough power to turn his own sons into kings.

What, then, happens if the revolutionary virus infects Saudi Arabia? Is this even a realistic threat? Despite its pre-modern, antiquated system of government, the kingdom is considered to be one of the most stable countries in the Arab world. The overwhelming majority of the population is strongly influenced by tribal loyalties that have developed over centuries, and by a deeply conservative worldview derived from WAHHABISM, ONE OF THE STRICTEST SCHOOLS OF ISLAM. So far, the leadership has allowed no more modernization than the bare minimum that is required for the state to function. It is mainly the half of the population without rights that suffers as a result, namely women.

Jeddah and Riyadh are home to just as many young people who are keen to enjoy life as Tunis and Cairo. They are equally avid tweeters and share their experiences on Facebook just as enthusiastically as their Egyptian and Tunisian contemporaries. And, as in much of the Arab world, Saudi Arabia's leadership is remarkably old compared with its young population. The average age of a cabinet minister in Riyadh is 65.

Corruption among the elite is also rampant in Saudi Arabia. The excesses of the Saudi royal family, which has grown to include almost 7,000 members, are less visible under Abdullah's reign than under that of his flamboyant predecessor King Fahd. Nevertheless, no young, politically interested Saudi Arabian can fail to notice that every car dealership, every gas station and every five-star hotel is a source of income for at least one member of the royal family.

Some of the frustrations that led to the undoing of former Tunisian President Ben Ali and former Egyptian President Mubarak could have an even more drastic impact in Saudi Arabia's comparatively affluent society. It is precisely because young Saudis are relatively well educated, mobile and have widespread access to Western television and the Internet that MANY PERCEIVE UNEMPLOYMENT AND THE BIGOTRY AND NARROW FOCUS OF THE WAHHABI REGIME AS PARTICULARLY OPPRESSIVE.

Even in Saudi Arabia, blessed as it is with prosperity, the first signs of protest are now emerging. Last week, several hundred dissatisfied Shiites took to the streets near the city of Qatif, and in Riyadh 40 intellectuals presented the king with an open letter demanding political reforms. The first revolutionary Facebook pages have already appeared, with one of them openly calling for the overthrow of the regime and a "Revolution of Longing" to begin on March 11.

The figures came as the US government recalculated its data on foreign holdings of US securities from June 2010. Chinese-held Treasuries have fallen since hitting a high of $1.18 trillion in October, under the revised figures. Japan remained by far the second largest holder of US government debt, with $882 billion in December, around $1.3 billion less than original estimates. Britain was third at $272.1 billion.