If you are of the mind that the American economy can't falter much worse than it already has, does that make a case for investing in the dollar right now? I would tend to think so. A weak dollar that has been mercilessly pinned against the floor for so long looks mighty appealing to me right now. The big questions are, how long shall this domestic economic sluggishness continue and what, if anything, are the growing industrial economies willing to do about it? If the undeniable rule of buy low and sell high applies to the dollar as with any other investment, someone is going to start scooping these greenbacks up in large chunks as their value bottoms out.

The World Bank suggests that oil prices shall decline to the middle 70's this year, giving a needed reprieve to currencies the world over. They also envision upwards of 3% economic growth globally for 2008 and history shows that growing economies have always hungered for American consumer dollars. Couple these factors with the reality that phantom value is finally being painfully peeled away from the American economic landscape and you have a recipe for a return to real economic growth here at home.

I've pointed offshore for the past two quarters when discussing my perspective on safety in short term investment, yet one cannot deny that we're still fairly strong here at home. Let no one claim that the dollar has met its doom. I'm expecting some very heartening economic news as we go through Q2 '08, and I might suggest being poised to grasp a dollar that could rebound remarkably then.