Analysts like myself have been waiting for that "Capitulation" in the form of a high profile failure in order to signal the end of this crisis and it looks like we are getting it at last. The bailout of Bear Stearns was not only the skeleton that analysts have been looking for all these while but that it also demonstrated the Fed's resolve to end this crisis and help banks in trouble and that is actually a plus for the market. This is also why the market turned around to end back up positive despite a really bad opening and markets collasping globally. Helping the market along is the big hit in oil prices taking the USO to close down 3.71% for the day. All these along with the steep
bond yield curve tells me that the beginning of the end of this bear market is nigh and yes, it does look darkest before dawn.
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