Penny for your thoughts

If the DOW closes below it's August 2007 low of 12,850, many technical-chartists who assert the DOW THEORY will formally conclude and announce that the BULL market has 'officially' become a BEAR market.

Thus making another 10% drop in the DJIA more likely than not.

Which begs this question:

If the DOW continues to stairstep it's way back down to the levels of the Summer of 2006 (between 10,800 and 11,500) during the next 6-20 weeks, it will coincide with US voters selecting almost 70% of the delegates to the GOP & DEM conventions.

I would imagine that such a correlation in timing, especially if the headlines contain the words "foreclosures", "gas prices", "record highs", and "Enron-esque Accounting", would not be helpful to a candidate from either party whose names are closely identified with the words, NEW YORK.

Would it not?

All of which, suggests to me that the FED will do whatever it takes, %rate cuts, repos, 'emergency funds', etc. to bailout not only the banks/brokerages, but to support the current frontrunners.

Their futures (pardon the pun) depend on it, Inflation and the Dollar be damned.