"President Obama's proposed rebuilding plans are great news for steel and other industrial metals makers," says resource sector specialist Larry Edelson, who recommends a pair of beneficiaries: U.S. Steel Corp. (NYSE: X) and Alcoa (NYSE: AA).

The editor of Real Wealth newsletter explains, "Obama has pledged to give the U.S. economy a massive shot in the arm with the biggest public works spending package this nation has seen in more than 50 years.

"Besides spending on road, bridge, school improvements and construction, the plan is likely to include upgrading our deteriorating electrical grid and greater investments in public transportation, among other infrastructure projects. The plan is also expected to create about 2.5 million jobs.

"While steel and other base metal prices have tanked sharply this year on slumping global demand, companies that produce the metals have staged some massive cutbacks in production and many have shuttered large chunks of their operations.

"There's no doubt about it: vital resources are in a bull market of gigantic proportions," note Yiannis Mostrous and Roger Conrad.

"The co-editors of Vital Resource Investor caution that "no market moves in a straight line, and in commodities, the action is often extremely violent." However, for long-term investors, they offer some favorites in iron ore, aluminum and copper.

"All commodity bull markets are ultimately gored by demand destruction, alternatives and new supply. But it will almost certainly be years before that happens to this one. And that means plenty of money will be made along the way.

"We're still extremely bullish on iron ore as the market remains in deficit and prices continue to rise. Chinese domestic supply has been falling and, if this continues, imports will make up the difference, thereby helping the miners.

"China consumes 51% of the world's iron supply. Portfolio holding Companhia Vale do Rio Doce (NYSE: RIO), the world's largest iron ore producer, will benefit from the shortage in iron ore supply.

"We favor aluminum in the industrial metals sector. We've been advocating aluminum for some time, and the market's finally going our way. Aluminum prices have been impacted by lack of available power in China and South Africa and higher alumina and bauxite prices.

For 25 years, Steven Halpern, editor of TheStockAdvisors.com, has surveyed the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is one of 100+ ideas in the Best Stocks for 2008 report.

"Aluminum is one of our favorite commodities for 2008 and the best leveraged play on aluminum is Australia-based Alumina (NYSE: AWC)," explain co-editors Roger Conrad and Yiannis Mostrous in Vital Resource Investor.

"The company, our top conservative pick for 2008, owns 40% of Alcoa World Alumina and Chemicals, which, in turn, holds the world's largest, low-cost portfolio of quality bauxite and alumina assets.

"Having the world's largest integrated bauxite mining and alumina refining system (it provides approximately 13% of the world's alumina supply) in one place is the company's main attraction.

"As energy, raw materials and freight costs continue to increase, Alumina's setup makes its operations increasingly competitive and low cost versus those of rivals.

This article is part of a 20 article special report on "Metals, miners and money".

"We've added a high potential acquisition play to our model portfolio, Alumina Ltd. (NYSE: AWC)," note Elliott Gue and Yiannis Mostrous in their Vital Resource Investor.

The advisors explain, "The company is a leveraged bet on the recovery of aluminum prices in the next few quarters as China rationalizes output and exports by taking its high cost, heavily subsidized producers out of the game. Its small size and 40% stake in the world's largest low-cost portfolio of quality bauxite and alumina assets is a tempting target.

"Having the world's largest integrated bauxite mining and alumina refining system (it provides approximately 13% of the world's alumina supply) in one place is the company's main attraction. As energy, raw materials, and freight costs continue to increase, Alumina's setup enables its operations to be extremely efficient and low cost.

"The company is at a sweet spot because China's aluminum demand has been so strong that it's taken the industry by surprise. Although a large number of experts were at the start of the year forecasting 14% growth of China's aluminum demand for 2007, the latest projections (as per Alcoa's calculations) are pointing toward 35% growth.

"Further, China has a long way to go before it reaches the levels of consumption that more mature economies have achieved. And although it won't happen in one go, it will be a long and steady process. The bottom line: To meet this demand as well as demand from other countries like rapidly urbanizing rural India, aluminum production will have to grow much more rapidly than at any time in history."