Take that!

Take that; all you people looking for a bear market rally. While I could not have expected that kind of decline Monday it was rather obvious - well, as obvious as it gets in the stock market - that some pullback was needed after last week's record run.

I put to you that it was a rather mild decline technically.

From a sentiment angle, however, it was scary as H E double hockey sticks (Thanks Sherman T Potter). The market opens down and quickly goes down 200 Dow points. Then it futzes around for a few hours before starting a slow sag.

Then the geniuses at NBER come out with the Earth shaking news that the US has been in recession since December 2007. I guess that is what they mean by "close enough for government work."

After months of comical denial, then silence, the head dismal scientist finally conceded what the stock market knew was coming back in October 2007. But the acknowledgment from the cheering squad got the seller to get more active and the Dow sank to down 700. Breadth was quite negative.

So, when we mop up the bathwater we find the baby. Or should I say diamond in the rough that is the market. Well, maybe diamond is too strong. How about a nice cubic?

Make your list of stocks to trade. I know I am. And I know that I'll be flipping them for some short ETFs after a few weeks.

Our Hero

The Donald is at it again. How does a guy so obviously business smart default on his debts - again? Or is he crazy like a fox and using this to his advantage? My guess is the latter.

Let's review current news:

1. The lead lender on the City's Trump International Hotel & Tower, is suing him, trying to collect a $40-million personal guarantee he made to help get financing for the 92-story high-rise.
2. Trump Entertainment Resorts will have to skip a $53.1 million interest payment scheduled for Monday on its 8.5% senior secured notes due 2015 in order to maintain sufficient liquidity.

And now let's go back in time:

1. Trump Hotels and Casinos (former symbol DJT) not to be confused with the current Trump Entertainment (symbol TRMP) goes bust.
   
2. Trump Airlines goes bust.
   
3. and his well documented ride to the edge of bankruptcy decades ago, spawning his book "the art of the comeback."
   

"The Apprentice" is gone ( at least from prime time). Whatever happened to the Martha Stewart version of that show?

He started a real estate investor institute last year, if I recall correctly, right at the peak.

It seems the guy is Midas in Reverse (remember that Hollies tune?). Yet he continues to be one of the wealthiest men in the country, lives the high life and has a name to lend to designer clothing and water and is surrounded by beautiful women.

Here is someone who knows how to use the system. Don't bet against him because in the end, even if lenders and shareholders get the short end of the deal, he gets wealthier. But is it yet another sign that capitalism ran amok - like the banks? Do we have to wait for the Donald to de-lever, too?