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TRADE DEFICIT- when a trading partner holds more of our money than they have bought from us.

This means they have A DEMAND FOR Goods and Services. That is all a Dollar is; a demand for a good or service; it is of NO value unless used to buy something( bonds,products,land,companies,etc. from the US),otherwise just so much funny looking wallpaper.

Our challenge as investors is to figure out what those goods and services are likely to be and invest in the source of those goods and services.

I see oil,coal(especially the type for steel making),iron ore,copper,cement,and shipping for all of these. I'm sure there are a ton more I haven't found or thought of yet.

These investment don't have to be American, they can use dollars with our other trading partners but eventually the dollar must come home as a demand for US goods and services.


Don
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