Martin Weiss, Ph.D. examines the declining value of the dollar and how it directly affects the U.S. economy as well as the global community. In this issue of Money and Markets, Dr. Weiss discusses the plunge in the dollar verses the rising values of foreign currencies as well as the affects the dollar is having on the U.S. Housing industry.

According to Weiss, the U.S. dollar is sinking. No one is able to come to the rescue. Investors who fail to take protective action could get hurt badly. And those that act promptly stand to make some of the greatest fortunes in recent memory.

"Directly or indirectly, every major asset on the planet is measured in dollars. When the dollar declines, the price tags on those assets naturally tend to rise. And when the dollar plunges, the assets explode," explains Dr. Weiss.

"And this past week, the dollar passed a point of no return. The dollar is now falling at a faster pace, with far less resistance, and with broader impact than at any time in recent memory."

On Friday, April 27, the euro hit a record high of $1.3682. A year ago, it was worth less than $1.20; in October 2000, it was worth only 83 cents. The British pound has been surging even more quickly than the euro. Just this past week, it busted through its highs reached in 1992. The New Zealand dollar is even stronger: It busted through its 2005 record high this week.

Closer to home, the Canadian dollar is also going through the roof soaring past its 1992 high last year and likely to soon exceed the value of the U.S. dollar for the first time in three decades.

Even previously downtrodden currencies like the Brazilian real, the Polish zloty, or the South African rand are gaining against the dollar. According to Bloomberg, it's because the inflation rates have fallen to the lowest in at least two decades, exports have boomed with rising commodity prices, deficits have shrunk, and external debts have been slashed.

Since the beginning of the year, the dollar has been the 51st worst performing currency in the world. The dollar plunge and foreign currency surge is helping to drive up gold, silver, platinum, uranium, and almost every natural resource known to man. It is also a big factor behind the record highs in overseas stock markets such as Brazil, China, Malaysia, Singapore and others.

Weiss says the fall of the dollar and the rise of foreign currencies aren't strictly due to the good news abroad. It's also due to the bad news right here in the United States.

Money and Markets' Friday columnist, Mike Larson, has been writing about the spreading danger of the housing bust. And week after week, more evidence demonstrates the wisdom of his prognosis. On Friday, the U.S. Commerce Department reported that the economy grew at an annual rate of a meager 1.3 percent in the first quarter, largely because it was bogged down by a steep drop in homebuilding.

Also last week, the National Association of Realtors reported that sales of previously occupied homes in March dropped 8.4% from the prior month to a seasonally adjusted annual rate of 6.12 million units. That was the largest monthly drop since 1989. Prices of homes are falling nationwide and beginning to plunge in key areas of the country. Inventories of unsold homes are still bulging. And now, as evidenced by the Friday GDP report, this housing malaise is dragging down the growth of the entire U.S. economy.

"Our recommendation: Start moving away from investments that are vulnerable to weakness in the U.S. dollar, the U.S. housing market and the U.S. economy and move towards investments that directly benefit from surging foreign currencies, booming foreign economies, and record-breaking foreign stock markets," explains Dr. Weiss.

For more information and to read the full article, visit this link:
http://www.moneyandmarkets.com/press.asp?rls_id=768&cat_id=6&

About Dr. Martin Weiss & Money And Markets
Money and Markets (www.moneyandmarkets.com) is a free daily investment newsletter from Dr. Martin Weiss and Weiss Research analysts offering the latest investing news and financial insights for the stock market, including tips and advice on investing in gold, energy and oil. Weiss Research, Inc. is located in Jupiter, Florida. For more information about our editors, or to set up an interview, please contact Jennifer Moran at 561-627-3300 or visit www.moneyandmarkets.com.