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Yuan Revaluation to Boost These 7 Stocks: Pro

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The Chinese yuan rose to its highest close in six months against the dollar as traders fretted over a possible yuan revaluation over the weekend. Who benefits from the revaluation—if it happens? Jim Oberweis, editor of The Oberweis Report, shared his insights. (See his stock picks, below.)

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The China Trade

“Over the course of the next 6 months, you’re going to see significant appreciation and there’s going to be winners and losers from that move,” Oberweis told CNBC.

“Forwards, markets are predicting 2 to 3 percent, I’m thinking it will be closer to 5 to 6 percent.”

If the yuan goes up, "all stocks in China" are going to follow suit as a result, said Oberweis.

“It’s also a positive for investors in companies in the U.S. that export to China,” he noted. “Not Wal-Mart-type companies, but companies like Boeing and Honeywell that export high-value added items.”

Companies in the clean energy business will also benefit from higher commodity and natural resource prices, added Oberweis.

  • Watch Oberweis' Previous Appearance on CNBC (Mar. 22, 2010)

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Oberweis’ Picks:

Schlumberger  

Transocean  

First Solar  

American Superconductor  

Caterpillar  

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More Market Views:

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Disclosures:

Obwerweis does not own shares of SLB, RIG, FSLR or CAT.

Obwerweis owns AMSC in his emerging growth fund.

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