With the exception of the Japanese yen, the US dollar has rallied against every major currency.

With the lack of any major US economic data on the calendar this week, the big event risk for the stock market and the US dollar is the Lehman Brothers' Credit Default Swap settlement on October 21.

Retail sales dropped by the most since August 2005 as consumers cut spending on cars, furniture, electronics, clothing and sporting goods.

With the third quarter earnings season in full swing, the latest correction in the stock market is partially attributed to the fears of a recession.

Banks and money markets are closed today, which means that we have yet to see the full reaction to this weekend's announcements, but there is a good chance that this is a near-term bottom.

Even though the economy could still be in for more trouble over the coming months, there is a case for a major bounce next week.

Another day, another plan from the US government that has failed to impress the markets.

For the first time since Sept 2001, central banks around the world have delivered a coordinated interest rate cut.  But was it too late?

For the Federal Reserve and the US economy, the new commercial paper funding facility is a step in the right direction because it lends directly to business sector.  However what the Fed ceases to realize is that the lack of liquidity comes from the lack of confidence and so far, their approaches have been too conservative to warrant a recovery in confidence.