Down Markets

I'd say that recession is inevitable at this point. For whatever reason, it looks like nothing can dissuade traders. I don't expect Bush to be able to make anyone feel better, but a 75 point cut by the Fed was just nuts. If that didn't change anything, nothing will. I think it's fallen too far, to fast, the recover anytime soon. Not sure where the bottom is, but it'll probably be mid-year, or more, before getting back on track. These things become self-fulfilling prophecies at some point. That points been reached.

I'm sure there will be another rate cut at the end of the month, but that will just weaken the dollar further. That will weaken emerging markets - which are the main thing that has kept the US markets growing in the face of gross mis-management of the federal government, its budget and foreign policy.

Recovery won't be easy.