Geopolitical things that keep whizzing overhead are also creating some nervousness.

I really think the leaders of this parade are the large-cap stocks. I think the valuations in the technology sector and small caps in particular are attractive enough and for the first time in a while are attracting money.

The Fed holds all the cards. Everyone is beginning to question, 'When are they going to stop?

It would also be wise for truckers to obey the posted weight limits.

The better companies, the better values out there in my opinion, are those high-grade companies which have had some recent problems.

It may be an Iron Curtain for the Crazy Dogs,

the bottom line is that the economy is still in great shape. Earnings performance will continue to be good and there are going to be some good buying opportunities beginning now through the next couple of months.

We expect relatively good earnings this week, as we saw from Motorola yesterday. We expect a favorable producer price index report this week. And it looks as though we could make an assault on 8,000 relatively soon.

We've pulled back about 6, 7 percent here. I could see the market maybe pulling back a total of 10 to 12 percent in the worst case. The bottom line is that the economy is still in great shape. Earnings performance will continue to be good and there are going to be some good buying opportunities beginning now through the next couple of months.

That's a very good thing for stocks. No negative surprises is a good thing.