CRASH and D is for....
.
DEFLATION!

1420 and 13000+ on the Dow, eh, according to many technicians?

Uh, no.

As I pointed out in my Tick video the other day around noon technical violations were just around the corner. Guess what - they're not around the corner any more, they're done.

All the way done.

As in WELL done.

Skull****ed? If you're a bull, yes you are. In both eye sockets.

Let's see, 100 points down, then nearly 400, now another 80? Hmmmm.... is that good?

We are clearly going to retest the swing lows and in a bear market retests are assumed to end in failures until proven otherwise.

What's bullish? Uh, Treasuries? CASH? Shorting the stock page on the WSJ?

There's nothing good that can be said here about this market. We have monoline explosions on the board - now basically assured, as the ratings agencies have come out and said openly what needed to be said - the capital ratios aren't there to merit AAA even if they get infusions due to the deteriorating credit quality of what they're underwriting.

No, really? You mean consumers are really defaulting on their mortgages? This is news somehow, somewhere?

These agencies need to be strung up by their short and curlies - period.

Cisco is getting pounded this afternoon, although I don't have earnings yet. But the market no likey whatever they're seeing. This is gonna get fun if the retail numbers tomorrow morning suck, and I'd take that bet. In the aftermarket they're bouncing around a lot, but with no real color on their movement. It'll come down to the conference call - and tomorrow morning.

I nearly barfed this morning waking up to Kudblow on CNBS. God, what a nasty way to start your day. Can I not do that again please? I'd rather get squicked.

What ELSE is going on? Not a lot.

Other than deflation.

Those who argue otherwise need to have their heads examined. I direct you to the H.3, the falling effective fed funds rate, the falling slosh - and the reserve rotation into TAF money.

Gee, what's that smell? Kudblow's bull**** and Cramer changing his mind as often as a crack addict changes his pipe - because he dropped the last one.

No lending, a locked hard money market, that hard money available is being lent at exhorbitant interest rates (**** sandwiches anyone?) and there's no credit demand anyway - or no good collateral left, not that there's a material difference between the two.

Inflation in this environment? Uh, where?

No, boys and girls, that's spelled DEFLATION, and its happening.

Here and now.

More later, if I can - getting short on power while on the road!