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♟ How I’m Playing the Dollar’s 10% Drop

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Dollar balancing against Euro.

"U.S. dollar weakness is driving international sales higher, along with the fashion trend favoring their products."

Karim Rahemtulla, Co-Founder, Monument Traders Alliance

Karim Rahemtulla

Dear Reader,

The stated goal of the U.S. government is to weaken the U.S. dollar in order to boost exports.

It's not a bad policy. I saw firsthand on my recent trip to Europe, where everything cost about 10% more than it did last year.

This also tracks the move in the dollar, which is down 10% versus the euro and British pound.

Chart: DOLLAR/Pound. Dollar/Euro chart from Jan 2025 to Jan 2026
 

For a few of our holdings, like Rolls Royce (RYCEY), this has meant an automatic 10% boost in U.S. dollar share prices since the shares are denominated in pounds.

But there's another angle to the dollar weakness...

The Crocs Play

Today in The War Room, I recommended members jump into CROX using a spread I engineered.

Ugly is back in style - not necessarily here in the U.S., but overseas.

Here's what CROX reported on its latest earnings call...

  • North America revenues decreased 7.4% to $436 million
  • International revenues increased 14.1% to $332 million (11.0% on a constant currency basis)

This is a powerful signal. U.S. dollar weakness is driving international sales higher, along with the fashion trend favoring their products.

I expect this dynamic to strengthen this year and into next year.

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Why? The U.S. is embarking on a weak dollar/low interest rate policy. The newly nominated Fed Chairman is widely expected to pursue lower rates, working in tandem with a Treasury Secretary who wants a weaker dollar.

With the dollar weakening, you should focus part of your portfolio on companies that sell a lot overseas.

Those companies include...

  • Procter & Gamble (PG)
  • Kimberly Clark (KMB)
  • Deckers (DECK)
  • Crocs (CROX)
  • Just about every U.S. conglomerate that derives a big chunk of sales overseas.

And, if you are planning that European vacation... get going sooner than later. Your dollar will stretch further now than it will in six months.

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YOUR ACTION PLAN

Trends like the weaker dollar are what Bryan and I follow every week in Monument Trend Advisory. Our next livestream is Tuesday at 2 p.m. ET.

And when it comes to finding world changing stocks based on the current trend, you only get one chance per decade - if you're lucky.

Which is why I recently shared what I believe is the best stock story ever.

This tech company currently trades for $9, and it could become the most important company in the world next year. It's solving one of AI's biggest problems.

Click here to learn more about this tech play.


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