Afterhours Report

Google got clobbered afterhours down 16% at one point, closing down 12.2%.

Afterhours volume NYSE was 20M vs prior 40M; AMEX 10M vs prior 5M and Nasdaq 47M vs 22M.

Tomorrow the NDX should gap down about 20 points to 1690. Low volume on the NYSE indicates a flat to negative open for the DJIA and SP500, as well as the RUT.

Market resilience will be tested in the next three days. There are several items which could prey on the mass psychology of the market.

Inflation and interest rate fears abound with the removal of the word "measured" and inclusion of the phrase "additional firming is needed" in the FOMC statement.

Future uncertainty between now and the next Fed meeting March 28th, in the handing of the baton from Greenspan to an unknown quantity in Bernanke.

And finally, the poster child for the new speculative bubble Google getting hammered afterhours on sub par net income.

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