Obama and McCain both clearly feel like diplomatic relations with Iran are an important issue. Obama feels that diplomatic talks should be held, but military force is an option should Israel be an option. McCain feels like talks with President Ahmadinejad would be useless and only advance Ahmadinejad’s message. As usual, we won’t pick a side here, but rather examine how you might be able to profit from either outcome.

First let’s examine Obama’s ideas. Obama’s belief in diplomatic talks could open up Iran to possible US investment. Iran’s 5 year plan for economic development calls for the introduction of foreign banks. If the US were on good terms with Iran, it could be possible to profit by getting in early on Iran’s developing economy. In addition, Iran holds about 10% of the world’s oil and 15% of the natural gas reserves. Good relations with Iran could drive down the cost of oil and natural gas. This would undoubtedly benefit many industrial companies and most likely even help Big Oil.

McCain’s plan on the other hand is not so beneficial to as wide a range of companies. However, you can still find profit in this through defense stocks. McCain’s non-diplomatic stance means a greater chance of conflict so these stocks are likely to benefit. However, a war in the Middle East would almost definitely harm almost all aspects of the economy, by driving up oil prices and causing political instability and uncertainty.

In terms of affecting economic relations with Israel, neither plan will probably change much, as both candidates have promised to protect Israel. But again, because McCain’s plan has a greater chance on leading to conflict in the region, it is more likely that trade with Israel will be affected, hurt US companies that produce computers, integrated circuits, aircraft parts and other defense equipment, wheat, and automobiles.
NOTE: When you click the link for wheat stocks, it will take you to Immigration Stocks. Up to NVR are agriculture.

Going against the usual Republicans are better for the economy than Democrats, it seems like in this case Obama would be more beneficial to our economy.

~Invest this!