PRE MARKET THOUGHT

Pre market futures are lower this morning on the heels of the MSFT-YHOO break in and probably over bought conditions in the market.

Gapping up- S MSFT GOOG TWX DOV;

Gapping down- YHOO CFC IR;

An interesting take on the BAC/CFC deal out of FBR this morning and it may not bode well for CFC shareholders and maybe financials in general. FBR downgraded CFC to under perform and lowered their target to $2 from $7 noting continued deterioration in CFC's loan book- they think BAC will likely renegotiate the transaction to under $2 and force bondholders to absorb potential write downs which FBR sees at between $20 and $30 Billion. Just a bit under the radar for now but it could be a big story before long.

GOOG trading up 4% in the pre market on the heels of the MSFT/YHOO break up while YHOO is down 22% -

Brokers look to trade lower on the heels of a federal investigation into the "sub prime mortgage crisis" - Investigators supposedly looking into mortgage fraud, securities fraud, accounting fraud and insider trading.

And why is Warren on TV everywhere- seems like he is getting just a bit celebrity happy.