In a similar way, almost all commodities are traded in U.S. dollars, so as the U.S. dollar weakens, commodity prices have soared. According to the Bank for International Settlements, the dollar is involved in 86% of the $3.2 trillion in daily currency transactions around the world, often as a middle step in exchanges between two other currencies. While this is down from 90% in 2001, no other currency comes close to impacting currency and commodity transactions.

Clearly, thanks to the fact that the U.S. dominates commodity trading, there is really no other global currency with enough excess reserves to supplant the U.S. dollar as the world's largest reserve currency. As a result, as the dollar softens, commodity and oil prices rise correspondingly.

As the falling dollar makes American goods cheaper all over the world, the U.S. agricultural sector will take off. How can this be? Because the American agricultural industry lies at the crossroads of three global trends:

1. the falling dollar 2. rising food costs 3. rising oil prices.

As a result, the manufacturers of farm equipment as well as the producers of fertilizer and genetically engineered corn seeds will be take-to-the-bank winners. Our three top performers in this sector will make money hand over fist.

However, the biggest moneymakers of all will be the producers of improved seeds for growing crops. The reasons are quite obvious. To understand why demand for corn and corn products is rising exponentially and our #1 pick could double your money in 12 months, you need only consider these two simple factors:

First, we eat fairly well here in the U.S., both China and India face food shortages brought on by population growth, water shortages and smaller harvests.

As the old saying goes, "If you give man a fish, you feed him for a day. If you teach him how to fish, you feed him for life." This is why I believe that the biggest opportunity lies in genetically modified seeds. The reason is simple: Genetically modified seeds not only increase crop yields, but also increase nutritional value while reducing susceptibility to crop-killing pests.

Because growing your own food increases your country's food security, demand is exploding. Today, more than 8 million farmers in 17 million countries grow genetically engineered crops on 200 million acres-a 20% increase from a year ago.

However, this number is expected to double by 2010, driven by China's expected approval to grow genetically engineered crops. That's just one reason why corn prices are exploding.

As you can see the weak dollar isn't all bad especially for the smart investor. There are plenty of Investor Newsletters out there that will give you more detailed information on which companies and which markets will explode due to these current factors.

Currencies are still a good option here because of the historical data showing that the dollar will bounce back at some time and that it will be a major move. If you chart the dollar versus the Euro you will see that soon we will be in the prime position to invest a little amount of money and ride it up to Thousands of Dollars.

Page 2 of 2 :: First | Last :: Prev | 1 2 | Next