R-E-C-E-S-S-I-O-N

Good afternoon,

The stock markets were looking soft in the early going but rallied into the early afternoon only to be sucker punched as it headed for the closing bell. The current wave should take us below the March lows, at the very least. With everything that's happening in the financial markets, the most devastating blow will materialize in the form of a confidence crisis. The consumer is experiencing a hangover of monumental proportions due to easy credit and rising real estate values that came to a screeching halt. A lot of people are in a tight spot and there are going to be a lot of cable TV disconnect orders and cell phones turned off due to layoffs in the financial sector. These people have gone to the well once too often only to find that the well has run dry. This is going to go way beyond belt-tightening. This is going to be a tremendous contraction in consumer spending and there's not a damned thing the FED or anyone else can do about it. So, do yourself a big favor if you haven't done so already. Liquidate your stocks and conserve cash and you might just survive the financial tsunami that is about to hit the mainland.

Dale F. Doelling
Preident and Chief Market Technician
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