MORNING TRADE

Markets holding a bit better than expected with the DJIA -70, NAZ -34 and SPX 15.

Strong sectors -metals, drugs, biotech and gaming while ags, oils, shipping and emerging markets lag.

NYSE- 2000 net losers;

NAZ- 1200 net losers;

NDX -20 GREEN;

OEX-25 GREEN;

VIX- higher by 7%+ at near 35.2;

Down volume 3x the up;

SPX 1185 seems to be near term support and we held those levels well this morning- the issue seems to be all about the TARP- and if that gets done everything will be fine in the short term - and if not we probably crash down next week.

Not expecting these index prices to hold for long as the internals are just too crummy not to bring the markets down.