In the early 1990s, I wrote a booklet titled "A Monetary Time Bomb is Ticking, Ticking, Ticking…" In the booklet, I warned that the dollar would start to plummet by July 1, 2002, because by that time, the Euro would be fully functional as a trading and reserve currency.

The dollar will no longer have a monopoly as the world's only reserve trading currency. As of July 1, 2002, the Euro will officially become the world's second reserve and trading currency. For the first time since the late 1950s, this competition will force the United States to pay for its excess spending and the massive debt it has created to accommodate its past excess spending.

A pay-back time happened once before in the early 1970s shortly after the U.S. came off the Gold Exchange System. During the 1970s, our country went through a series of explosive inflationary spirals. The stock market remained in a huge trading range, evidently attempting to fathom the future of the economy.

This event could happen again. The U.S. economy has been aided by a tremendous amount of foreign investment money for the past decade. The bulk of this money can be expected to return home if the dollar continues to implode. If the 1970s scenario plays again it will be oil and gas stocks, gold and silver mining shares, and REITs that will out perform the market.

I found a couple of investments in Europe that appear to be potentially profitable, safe, tax deferred and that protect investors from lawsuits against these potential assets. In coming commentary I will discuss these investments.

For now, independent oil and gas is consistently receiving the majority of money going into inflation hedges. TMG (Amex) and CEO (NYSE) are energy shares currently under accumulation.

The economy is still improving, but the news from Wall Street continues to create fear and loathing in prospective investors. This anxiety will not stop until the economy is moving so fast, investors can't resist re-entering the equity markets.

Buy Trades
# of shares		Company		purchase price ($)
174		Swift Energy		15.79
Sell Trades
71		Deluxe Corp		46.95
KEEP REMAINING MONEY IN CASH ACCOUNT.