anuary 14 message showed how during the U.S. dollar's fall of the 1970s that investments in other European currencies, gold and silver dramatically rose. There was another investment that reaped fortune for non-dollar investors at that time. See it below.
In the early 70s when the U.S. dollar dropped investments in emerging markets skyrocketed. Now the old French saying, “The more things change the more they remain the same” may apply to your investing. Last time round, when the dollar fell in this way, investments in emerging markets skyrocketed.
You can see how the dollar has fallen versus the Euro and yen at http://www.kshitij.com by looking in their graph gallery and selecting the dollar versus Euro and dollar verses yen. Remember because all of us consume so many foreign goods, if we hold just U.S. dollars, when they fall, our purchasing power drops. Most investors should have some overseas diversification.
This may be the time to diversify your portfolio into select emerging markets now.
Until next message, good investing!