The U.S. stock market has enjoyed a strong rally since the early spring, but while the economy has shown improvement, it still faces major headwinds. So it may be best to hedge against the U.S. dollar, which is likely to experience a significant decline over the next few months.

Markets were cheered Wednesday when the International Monetary Fund (IMF) projected global growth of 2.5% for 2010, a slight increase from its earlier forecast of 1.9% growth. That’s good news for investors – but consumers in the United States and investors focused on it may not see much benefit.

Consumer Confidence Leaps; Hong Kong Injects More Stimulus; Virgin Atlantic Sees Cloudy Skies; South Africa Enters Recession; Experts: Supreme Court Nominee Neutral on Business; Hedge Funds Bet Big on Commodities; GM Gets Labor Concessions in Canada; Russian Firm Takes $200 Million Stake in Facebook

As you scour the globe for potential post-financial-crisis profit plays, don’t overlook Taiwan. Stock markets around the world have already started to rebound with joy as investors begin to believe that that the unpleasant global recession is finally nearing its bottom.

While many analysts expect U.S. corporate earnings and overall economic data to remain weak by historical standards, there may well be enough of an improvement over the prior months and quarters to spark some optimism that there are better times ahead.

Back in December, with the U.S. recession in its 12th month – and showing no signs of abating – Money Morning Contributing Editor Martin Hutchinson warned that an “L”-shaped recession was very possible.

U.S. President Barack Obama’s speech to the joint session of Congress this week was a beautiful performance. His language was exquisite, his delivery was superb, his rhetoric – at times – truly uplifting. 

The week begins with a bang, according to the Financial Times. The FT reports that, “The Obama administration is gearing up for a ‘big bang’ announcement within the next two weeks that will combine a bank clean-up with measures to reduce home foreclosures and probably steps to kick-start credit markets.”

U.S. economy shrank at fastest pace in nearly 27 years… Procter and Gamble down after cuts full-year forecast… Exxon, Chevron gain after beating expectations… Dow, S&P, Nasdaq all off about 1 pct…

Oil jumps $2 on better-than-expected GDP data… OPEC says “willing to go further” to balance market… Labour action in U.K., U.S. supports crude prices…