The glow is coming off yesterday's huge Fed rate cut. Just as I expected, the market gave back much of yesterday's huge gains.Investors sent the Dow Jones industrial average down 293 points, or 2.36%, to 12,099.66, while the Nasdaq Composite Index fell 58.30, or 2.57%, to 2,209.66 and the S&P 500 tumbled 32.32, or 2.43%, to 1298.42. Market watchers, who were jubilant yesterday, were downright depressed today.
"This whole market is driven by fear right now,'' James Gaul, a portfolio manager at Boston Advisors LLC told Bloomberg News. "Investors are thinking more and more this will be a long and drawn out recession, and that pulls down commodity prices and energy prices.''
"Clearly there is fear. I would say the needle is pointing more toward fear than greed right now," said
George Shipp, chief investment officer at Scott & Stringfellow, in an interview with the Associated Press.
O.K, we get the picture. People are scared. Fear rules the day.
That's the case for now, but the funny thing is this fear will not last. The slightest good news will send the market skyward yet again.
You can get whiplash watching this market rise and fall.
Chasing Value: Ten stocks for 2010 -- Part 1 
Closing Bell: A six-day rally (AIG, REGN, M, MOT, PALM, RIMM)
Tesla Roadster sets a record -- travels 313 miles on a single charge
