DRS112

Stocks are gaining, the dollar is climbing, gold is dropping, some say the sub-prime crises has bottomed out or will soon. All of this among a near collapse of Bear Sterns and another rate cut by the fed which should cause inflation.

So it makes me wonder. Is the worst over? Instead of seeing a major correction in the market, did we see only a leveling off of sorts? To be honest I'm perplexed by the economy right now that has so many facets contributing to the current goings on that any one failure or the combination of a few failures could send the economy reeling.

Or is it only a calm before the storm? Which would bring hopes of being able to postpone any major correction in time for the government to get it's act together and restore global confidence in the dollar through it's fiscal policies? Truth be told I don't have a lot of hopes of that happening. My choice is either the Republicans who talk the talk about fiscal responsibility but don't walk the walk, or the Democrats who talk a big game about balancing the budget while at the same time talk about the major social programs they want to implement.

I don't know which...but the next few weeks should be interesting.