DC is the Puppet Master This Week

When is Wall Street not the financial center of the universe?

Answer: When Washington DC is trying to come up with hundreds of billions or trillions of dollars to try to fix what's broken.

This week will have all eyes on our nations capital as it works on the stimulus package and the announcement by the new Treasury Secretary of what he's got up his sleeve.

Seriously... what in the world are people actually expecting to come of all this once it's announced? Nothing. Sure it'll sound good, but so have many of the other attempts at putting out the fires out there.

In the meantime the markets have held up well and rallied a bit last week. Heck, the NASDAQ is actually up for the year having wiped out it's losses from January.

This is setting up to be the perfect "buy the rumor, sell the news" and once the announcements are made and the votes are in, we should see a selloff. But hey, the market has a mind of it's own so we'll have to see. But the rest of this week could be very interesting.

I just saw a headline saying that the Treasury has dropped the idea of creating a "bad bank" to take all of the toxic assets off of the balance sheets of the banks. I say that's a good thing. It would have just been more smoke and mirrors. Let's just get through this mess and be done with it. That'll never happen though.

Instead there will be incentives to buy houses and cars. Incentives to get people to spend more money. Brilliant idea.