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The dollar is falling and consumer sales are slowing. Or are they? The United States is a huge market, but it's not the only market in the world these days. Emerging markets continue to expand, and their consumers are hungry for products and services from the United States. These markets are literally a billion-strong, and they're helping the companies we own in our Blue Chip Growth portfolio continue to grow and post record quarterly earnings. As you know, I expect the Fed to continue to cut interest rates here in the States well into April. This will cause the dollar to fall even more against other currencies. That means that the popular brands sold by our Blue Chip Growth leaders will be favorably priced and continue to grow worldwide.

Several of our stocks stand to benefit. McDonald's (MCD) is one of the most obvious as the fast-food chain becomes as much a part of every day life around the globe as it has been here in the United States. In February, the company announced better-than-expected same-store sales growth, especially overseas, where it is profiting from the dollar's weakness. Last year, its growth in Russia was almost 30%. That's great news, but want to know something even better? The company expects sales will be even stronger as they continue to expand and open new stores. McDonald's will open 125 new stores in China this year alone!

How about Colgate Palmolive (CL)? We all know this company's products, and most of us use them every day. Colgate toothpaste, Irish Spring soaps and Palmolive dish detergent: Three great all-American brands, but did you know that less than 20% of the company's sales come from the United States? Latin America accounts for 17 % of its total sales, and sales there are growing at better than 5 times the rate here in the U.S. Europe comprises 25% of Colgate Palmolive's sales, and these sales are growing at 3 times the rate here at home. Asia and Africa combine for an additional 17% of total sales and are growing at better than 4 times as fast. The company is now the global leader in toothpaste and toothbrush sales–almost 1 out of 4 people in the world use their toothcare products! CL is truly a global company that will benefit from strong consumer demand around the globe. As the dollar drops, their products will become even cheaper for non-U.S. consumers.

One of our new additions to the Blue Chip Growth portfolio has long been a global giant. In fact, Pepsico (PEP) was the first company to make a big push into the Chinese markets. The company sells well-recognized snacks and sodas all around the world. While growth in the United States has been hard to come by, business is growing briskly in the overseas and Latin America markets. Worldwide they are snatching up Frito-Lay snack and Pepsi soft drinks as well as Gatorade, Tropicana juices and even Quaker Oats breakfast foods. Just in Asia the sales of Frito products have grown by almost 20% in 2007! In recent months they have purchased a new snack company in Brazil, a juice company in the Ukraine and announced a partnership with Starbucks to sell Frappuccinos in China. They are actively trying to grow their international presence.

Bottom Line: The Fed will keep cutting rates here at home, and business may slow down because of the real estate problems. The dollar may well fall even further, but there's no need to worry. Many of the companies in our Blue Chip Growth portfolio will continue to do just fine. In fact, we've positioned our portfolio to benefit from the falling dollar as our companies grow outside the U.S. Now that's smart business! To learn more about these stocks, try a risk-free trial of Blue Chip Growth today!

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