People are worried. Folks with a small amount of money. Folks with a lot.

There’s simply no way to dance around it: The past few months have been tough in the stock market. Due largely to a weak U.S. dollar, soaring commodity and gas prices continue to weigh down our economy.

And since the weak dollar is now driving the cost of commodities and imported goods higher, the Fed’s ability to fight inflation has been severely compromised. The evidence clearly shows that inflation or “stagflation”—which is defined as low growth and higher prices—is clearly becoming a problem (see also, “How to Ride the Falling Dollar to Triple-Digit Wealth“).

While this is sad news for us as consumers, it’s actually great news for us as investors. The pessimistic press would have you believe that the dollar’s decline against the euro is a sure sign of our country’s demise. I couldn’t disagree more, and as an investor, you can profit from the lowest dollar in 15 years.

So whatever you do—please don’t let the ugly facts about the falling dollar and “stagflation” keep you from making money in 2008. There’s a gold mine of opportunities waiting for investors if you know where to look.

Where to Invest When the Dollar Dives

Have you ever noticed that whenever the dollar hits a new low, the price of oil and commodities reach a new high? It’s no coincidence.

As the U.S. economy slows, the Federal Reserve is manipulating interest rates to shore up the housing market and stave off the credit crisis. The faster the Fed cuts interest rates, the weaker the dollar gets, which then fuels oil’s rocket-ride skyward.

Why? That’s because crude oil is traded in U.S. dollars. So when the dollar is low, other currencies are stronger, which means that folks in foreign countries are able to buy more oil for less money. And that’s exactly what’s happening today (see also, “Get Rich From High Oil Prices“).

Although the weak U.S. dollar-rising crude oil correlation has been noticeable since 2002, it really became noticeable in 2007. This correlation has been utterly amazing to the point that if the U.S. dollar slips during the day, you can expect crude oil prices to rise.

Oil & the Dollar Move in Tandem

This chart illustrates just how much in tandem oil prices and the U.S. dollar move. So what the Fed needs to watch out for is cutting interest rates too much, because the dollar will likely weaken further, and then oil could soar past $150 per barrel.

In a similar way, almost all commodities are traded in U.S. dollars, so as the…> U.S. dollar weakened, commodity and oil prices have soared.

Time to Bet the Farm?

As the falling dollar makes American goods cheaper all over the world, the U.S. agricultural sector is taking off. As a result, the manufacturers of farm equipment as well as producers of fertilizer and genetically engineered corn seeds will be take-to-the-bank winners this year.

In fact, my top three performers in this sector are simply making money hand over fist. Yes, I know, this is a big claim, but the fact of the matter is that these three companies have already made my Blue Chip Growth subscribers 374% richer since February 2005.

Write These 3 Names Down Now!

Monsanto (MON) is by far the world’s largest leading producer of bioengineered crops. In fact, the company’s market share is so huge that experts estimate that Monsanto has developed 70% of the world’s insect- and herbicide-resistant crops. That’s like having a 70% market share in the one commodity that every human being on Earth needs to survive—food. When you add the fact that demand for ethanol is putting powerful upward pressure on the price of corn, you can see why the company is about to hit the jackpot again as sales to China and India explode from the falling dollar.
In fact, if you had invested $20,000 in this company three years ago, you’d be sitting on $94,000 now.

Deere (DE) is about as all-American as the fourth of July. In fact, you can’t get more American that a John Deere tractor, but ironically, global demand for John Deere’s products is its driving success. As one of the world’s largest makers of farm equipment, John Deere makes diesel engines, chain saws and snow blowers. In the second quarter, Deere announced that its profits were up 22% fueled by global demand for its farming equipment. The tractor maker is benefiting from robust international growth fueled by higher commodity prices for grain.
Mosaic Company (MOS) is one of the world’s largest makers of phosphate and potash crop nutrients. More than two-thirds of the company’s business comes from outside of the United States. The company was formed when IMC Global and Cargill’s former crop nutrition unit merged in 2004. The company posted a 4.3% earnings surprise in April. Its first-quarter sales came in at $0.99 per share, beating analysts $0.95 per share expectations. By outdoing analysts’ earnings expectations, the company brought in an excellent earnings surprise. Already analysts have scrambled to raise their estimates higher on MOS. Well, that’s nothing new to us: We’re up 217% in the company since October 2007!
 The companies I’ve just outlined here today represent the kind of companies we recommend at Blue Chip Growth every day (see how you can sign up for your own risk-free trial subscription below).
These are companies that not only exploit the dramatic changes that are unfolding in our economy, but companies that are rapidly increasing their earnings, expanding operating profit margins and richly rewarding investors along the way.

At Blue Chip Growth, we stake our reputation on every investment we make and will return your money if we fail to meet your expectations. Our goal is to hand our readers 35% to 50% gains every 12 months. It’s a vow I’ve kept for more than two decades. Sign up today and get Blue Chip Growth HALF-OFF plus 6 Months Free! Don’t miss out!