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Politics : Stockman Scott's Political Debate Porch

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To: Jim Willie CB who wrote (542)6/20/2002 10:36:42 AM
From: Clappy  Read Replies (1) of 89467
 
Jimmy Macro The Bikini Chaser,

I've been wondering out something and figured you might have a clue.

Do you think there might be an advantage for Americans buying stock in Canadian Natural Resource companies?

The reasoning being two fold...

1) The US Dollar is showing signs of weakness (of course we already see this unfolding). As the US Dollar decreases in value, wouldn't the value of the Canadian company increase if all things remained equal? Or am I getting to a confusing topic of currency conversion?

2) As inflation increases the prices of commodities (such as natural resources) rise.

Which company has the greater advantage or leverage?
A US Miner or a Canadian Miner in terms of a weakening dollar?

Or course this question is open to anyone who might have an idea.

Take it a step in a different direction...

How about South and Central America. Their economies have been beaten hard. Will rising commodity prices be the thing that gets them turned around or are they still forked as the US economy spirals?

-JohnnyMicroChip
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