Will you profit from Southeast Asian rising economies?

November 16, 2005

During President Bush's Southeast Asia tour, he talked about the importance of democracy in Japan and Australia as a further jab to China's government. Bush has supported Japan's bid to be on the U.N. Security Council. He is also moving 7,000 Marines from Okinawa to the U.S. Pacific territory of Guam over six years. This will help ease complaints from local Okinawans, where half of the 50,000 U.S. military personnel in Japan are based. However, Japan still doesn't want to import American beef, as Bush would like, citing fears of mad cow disease.

What It Means: 

The U.S. is concerned about the rising economic and potential military power of China, and so is strengthening its relationship with the democracies of Japan and South Korea.

Action Steps: 

Do you have any funds in Japan and South Korea? These countries will benefit from Bush's actions, and so now may be a good time to look into adding some of these funds to your portfolio.