Foreigners are going to be selling stocks because of the Clinton matter, ... unless there is a flare that hits the dollar.
Unless the Bush administration can successfully counter recent criticism, Bush and consumer confidence might continue to flounder. If so, the markets will justifiably worry about Bush's chances of re-election.
The Fed needs to align itself with the inflation expectations of the market, unless it has a strong -- and hopefully accurate -- view about how the inflation trend is evolving.