Market Trumpeters.

China's world-beating rally may be a ``bubble'' ready to burst, say the former U.S. Federal Reserve chairman
Asked if China was in a state of ``irrational exuberance,'' Greenspan told a conference of insurance executives in Boston on Oct. 30: ``I think so.''

``When you don't expect it, it breaks,'' Greenspan said,

Billionaire Buffett, chairman of Berkshire Hathaway Inc., last month urged investors to be ``cautious.''

Buffett, who said on Oct. 24 that ``it's easy to be carried away in the stock market when things are going well.''

http://news.bbc.co.uk/1/hi/business/1217716.stm

Hutchison Whampoa Ltd. Chairman Li-Ka Shing,Asia's richest man said in May that the Chinese stock market ``must be a bubble.''

The CSI 300 trades at about 39 times estimated earnings, compared with about six times for the MSCI Asia Pacific Index, which tracks more than 1,000 companies in the region. China's CSI 300 index has surged 148 percent this year, the world's best return. The benchmark tracks the 300 biggest companies on the yuan-denominated A-share markets in Shanghai and Shenzhen.Domestic investors opened about 33 million accounts for trading stocks and mutual funds in the first eight months of this year, six times the number opened in all of 2006, according to China Securities Depository and Clearing Corp.

Chinese Premier Wen Jiabao is warning that China needs to prevent an asset bubble from forming in its stock market, a government news agency reported Tuesday. full story

HenryPaulson, 61, has tried to be reassuring. ``I view the housing and mortgage market decline as the most significant current risk to our economy,'' he told reporters in Washington on Oct. 31. ``Even so, we have a healthy, diversified economy that will continue to grow.''

When the markets began to shudder in July, Paulson used the address book he had built up during 32 years at Goldman Sachs(he was then chief executive officer) to seek information and advice from Wall Street's elite.He took office as US Treasury Secretary in July 2006

Tracking the Dow on Wednesday.

The psychological support of 13,000 has been breached.Let's hope that it's a pre-holiday adjustment.

The Pivot support line has been penetrated.Will the market -traders pause at this point to prepare for the right-shoulder formation before the next real meltdown?Only after Thanksgiving Day will know.