more on the banks, in that they now have some breathing room to recapitalize

this is finally a real attempt by the fed, not far enough mind you - they should just buy this stuff! - but, as always, we are buying breathing room. it allows us to build some confidence.

last week it was feared that fnm agency bonds -- not just the stock -- were in trouble. now, that doesn't appear likely, or the fed wouldn't take them as collateral. it was also thought that aaa bonds were dangerous. again, the fed accepts them as collateral, and you get more hopeful.

the psychology of negativity needs to be broken, before the employment turns down too horribly. anything that allows the psychology to break, that allows you to think you could get a loan, is something positive.