Not having the personal knowledge or experience I am unable to add to your comments, other than a couple of things that I was thinking about last night.
As we all know, for the last couple of weeks the market has demonstrated a direct relationship to the latest war news on CNN (WAR ->DOW ->XJO). Spectacularly so at times. My personal feeling is that this is a very clear example of the American Phsyci (sp?) - simply put as being very patriotic and also very much an emotional rollercoaster.
At some point (after last nights coverage, I now believe that it could be as soon as a couple of weeks) the US will "win" the war. What happens then?
Just guessing but I feel that a possible scenario is that immediately after a win the market will head North impressively (no great feat of deduction required here). What happens next? Would it not be reasonable to guess that after the honeymoon is over everyone will remember that the same factors that brought the markets to where they are are still in place (not often one gets to use a double "are") and the markets resume their descent.
On the other hand, maybe the war spend plus the after war euphoria will be enough to turn the US economy (and the markets) around.
