Birch, docile is good. imo, Morsi is not an idiot. But I have to agree that becoming a Tyrant doesn't seem like the right move under the circumstances especially when the IMF loan is being jeopardized. Unless of course, Morsi is about to get funding from somewhere else. Morsi is pretty keen on strengthening ties with Iran so that together they can provide aid to their muslim brothers in Syria. A strong tie between Iran and Egypt could pretty much ruin Egypt's relationship with SA and Qatar which could seriously hurt Egypt, not to mention the impending threat of war (if not certainty of war) that will hang over Israel, the U.S., and their allies. Also, there could be the promise of funding from Iran and/or Iran's allies. However, there is also a possibility that Morsi (and the Muslim Brotherhood) is being indirectly puppeteered by the U.S. and Israel via SA and Qatar. While U.S. influence has prevented heavy artillary being sent to Syrian Rebels from Qatar and SA, talks between Egypt and Qatar were as recent as a few weeks ago where Qatar is offering to strengthen it's investments in Egypt, including Egypt Agriculture. They're talking about L.E. 18billion over the next five years and generating over 1 million jobs to boot! I'm not sure why Morsi has taken carte blanche over Egypt but these reasons seem a likely cause for it. If it is the latter of the two, we're good to go and I will re-invest. But if it involves ties with Iran... I'm sorry to say it could become pretty messy and I will probably not find grounds to re-invest in the near term.
The complete power grab has thrown me right off. It may be Morsi's attempt at controlling the Judicial Body, the Brotherhood and the Opposition while he creates a democratic state with a great deal of western influence... but then again... it may not and I'm not willing to risk a sudden nose dive in sp to find out which way it will turn. Time will tell and I can always get back in when buy signals appear again.
Anyway, I'm really no expert at this.... just a simple canadian trying to protect my investment by trying to look at all aspects affecting it.