The U.S. stock market has run up magnificently in the last six months. The U.S. economy has begun to recover, but its performance has fallen short of expectations.

And with good reason. The United States has a bigger and more-troubled financial sector than most countries. It also has a bigger overhang from the housing bubble, has a bigger balance-of-payments deficit and has a budget deficit that’s fat enough to stall the recovery.

It would be nice to have an economic recovery to invest in that didn’t have all of these problems.

Truth be told, such an investment play does exist. What’s more, the market I have in mind is advanced enough for us to invest in it without having to go through all the rigmarole of American Depository Receipt (ADR) investing. Nor will you have to make a potentially risky foray out onto some foreign stock exchange to buy the

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Today we are featuring top-performing “Energy" equity mutual funds, which primarily invest in energy or natural resources companies.

Investors can find such funds by checking out the entire list of the Zacks #1 Rank Energy Equity Funds.

3 Power Picks

Nuveen Tradewinds Global Resources A (NTGAX) was incepted in December 2006. It seeks long-term capital appreciation by investing in securities selected using an eclectic, value-oriented process.

The fund invests in securities that appear undervalued due to investor overreaction, misperceptions and short-term focus and that have the prospect of strong or improving business fundamentals.

The fund’s top holdings include Newmont Mining Corp. (NEM), Suncor Energy Inc. (SU) and Newcrest Mining Ltd.

Calvert Global Alternative Energy A (CGAEX) aims to achieve long-term growth of capital by investing at least 80% of its net assets in equity securities of companies involved in alternative energy.

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Today we are featuring top-performing "Energy" equity mutual funds, which primarily invest in energy or natural resources companies.

Investors can find such funds by checking out the entire list of the Zacks #1 Rank Energy Equity Funds.3 Power Picks

Nuveen Tradewinds Global Resources A (NTGAX) was incepted in December 2006. It seeks long-term capital appreciation by investing in securities selected using an eclectic, value-oriented process.

The fund invests in securities that appear undervalued due to investor overreaction, misperceptions and short-term focus and that have the prospect of strong or improving business fundamentals.

The fund's top holdings include Newmont Mining Corp. (NEM), Suncor Energy Inc. (SU) and Newcrest Mining Ltd.

Calvert Global Alternative Energy A (CGAEX) aims to achieve long-term growth of capital by investing at least 80% of its net assets in

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With oil finally trading back above the $50-a-barrel level, it’s time to recognize that crude prices are probably not going to remain low for very long, and may end up fluctuating in the $50-$80 range - regardless of what happens to the prices of other commodities. After all, the economies in both China and India are apparently continuing to grow at a fairly rapid pace, and those countries’ demand for transportation and other forms of energy are thus likely to keep pace. For some minerals, the period of high prices from 2005 to 2008 has produced a surplus. But no such effect has been seen in the oil market, as large new discoveries are hard to find. If we’ve learned anything in the last few years, it’s that political risk is very important in oil investments. It’s not just a question of outright ...

Suncor Energy Inc. (SU) said it will buy rival Petro-Canada (PCZ) for $14.9 billion (C$18.43 billion) in a deal that will create Canadia’s largest energy company, with a refining capacity of 433,000 barrels per day.

More importantly for the future of both companies, the combined portfolio boasts the largest oil-sands resource position, a vital but difficult source to mine.

“It’s a good opportunity for Suncor to snap up some good assets at fairly depressed prices,” Greg Smith, managing director of London-based investment adviser Fat Prophets U.K. Ltd., told Bloomberg. “Oil sands are the legitimate solution to the long-term energy problem but it’s a lot more costly to get the oil out of the ground.”

The merged company will also feature:

A resource base with approximately 7.5 billion barrels of oil equivalent (boe) of proved (developed and undeveloped) and probable reserves, on top of an ...

Highlights include Suncor Energy, Inc. (SU), Petro-Canada (PCZ), EnCana Corp. (ECA), Canadian Natural Resource Ltd. (CNQ) and Marathon Oil Corp. (MRO).First Major Deal in Oil SpaceCalgary-based Suncor Energy (SU) is acquiring its hometown rival PetroCanada (PCZ) in an all-stock $18 billion deal, including the assumption of about $3 billion in PCZ debt. The boards of both companies have approved the transaction, which will require shareholder and regulatory approvals before completion. The deal is expected to close in the 3rd quarter of this year.PetroCanada shareholders will receive 1.28 Suncor shares for each PCZ share they own. This would represent a roughly 25% premium to the 30-day average PCZ trading price. On completion of the transaction, Suncor shareholders will own roughly 60% of the combined company, while current PetroCanada holders will own the rest.Suncor is a ...

Petro-Canada (PCZ) shares rose the most in six months after peer Suncor Energy Inc. (SU) agreed to acquire the oil-sands producer in an all-stock deal worth about $15 billion to create the largest Canadian energy company.

Under terms of the deal, Petro-Canada shareholders will get 1.28 shares of the merged company for each share they own. After the proposed transaction, Suncor shareholders will own about 60% and Petro-Canada shareholders will own nearly 40% of the newly created company. The deal is expected to get regulatory clearance from the Canadian government.

Slumping prices for crude oil since last summer have hurt both Suncor and Petro-Canada. With credit markets tightening further in the deepening recession, cash-rich companies are seeking to expand their value by acquiring smaller players. The proposed merger of Suncor and Petro-Canada will also help in saving more than $1 billion in annual expenses.

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Between September 2007 and June 2008, oil prices doubled, gold rose 30% and commodities, in general, advanced by a similar percentage. So why, six months later, when prices have fallen back below last year’s levels, does everybody think they won’t rise again? The difficulties of extraction haven’t gone away, nor have the prospects of increasing consumption in the faster-growing emerging markets such as China. Yes, the prices of commodities are severely affected by marginal moves in supply and demand, but this is ridiculous! Rest assured, commodities prices will rebound in the New Year. The reasons will soon become quite clear. The decline in commodities prices since the summer is broad-based. The Reuters Continuous Commodities Index traded recently at 341, down 25% from a year earlier and off about 45% from its June high. At $48 a barrel, oil is trading at less ...

The U.S. financial-services sector is undergoing the broadest restructuring of a single industry in the history of Corporate America, and Bank of America Corp. (NYSE: BAC) has positioned itself to emerge as one of three clear frontrunners. Indeed, along with Citigroup Inc. (NYSE: C) and JPMorgan Chase & Co. (NYSE: JPM), Bank of America could well emerge from this financial maelstrom as one of the premier players on the global stage: All three will benefit from increasing market share and increased financial intermediation margins as their weaker rivals have failed and/or been taken over in part or in total by a stronger industry player. During the many financial crises that I have analyzed around the world, the result has always been the same: The prudently managed, under-levered institutions that did not overstretch their capital bases and that were ...

Track Goldman’s additions to Conviction Buy list at: http://trackthepros.com/stocks/category/930 Goldman Sachs Removed Freeport-McMoRan (FCX) from its Conviction Buy ListOct 2, 2008 09:37AM

Goldman Sachs removed Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX) from its Conviction Buy …

Goldman Sachs Removed Citrix Systems (CTXS) from its Conviction Buy ListOct 2, 2008 07:49AM

Goldman Sachs removed Citrix Systems, Inc. (Nasdaq …

Goldman Sachs Added Suncor Energy (SU) to its Conviction Buy ListOct 2, 2008 07:44AM

Goldman Sachs added Suncor Energy Inc …

Goldman Sachs Removed Community Health Systems (CYH) from its Conviction Buy ListOct 2, 2008 07:41AM

Goldman Sachs removed Community Health Systems, Inc. (NYSE: CYH) …

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