Directionless market with no leaders

There is no leadership in the equity markets up or down now. This is an unusual vacuum. Activity in the bond markets, commodities markets, and CNBC blabber markets aside, equities have been in a trance. It's a stalemate between the obvious screaming values of well financed companies with distinct market advantages and the fear that inflation, a declining dollar, and a second round of consumer stress related to mortgage and credit card debt is set to take hold in 2010.

Mid-market and small cap companies are vulnerable to extreme buying and selling, seeing them both here on a daily basis, but the big steadies are just hanging at 20 to 25% below any "normal" calculation of value. After GE, or as more extreme examples after AIG and C, what's "normal" and when will the normal investor return. With the role of securities analysts neutered and the rating agencies completely discredited, when will a leader emerge. The nitwitisms on business televison are just distractions.

Jolt up, jolt down, we're due for one or the other.