Ms Dow & Mr Jones having sparkling wine.

The host that toasted Ms Dow & Mr Jones on Wednesday to a spectacular fanfare of sparkling wine was none other than Federal Reserve Vice Chairman Donald Kohn.

Kohn, 65, was director of the Fed's Monetary Affairs Division and special adviser on monetary policy under former chairman Alan Greenspan.

He ignited the candlelight and soon the Dow Jones Industrial Average enlighten the whole trading floor at wall-street to a horrific performance.

Ha..Ha..Ha....Whaaat?

*market ``turbulence'' I personally anticipated it!

``We are going to have to take a look at'' the stress in credit markets ``when we meet in a couple of weeks,'' he said.

Kohn ``has just given the markets the green light for a rate cut on Dec. 11,''

``We need to take account of those market expectations, but not follow them blindly,'' Kohn said in response to a question.

Kohn also indicated that the continued deterioration in housing markets, now the worst recession in 16 years, have surprised him.

``It would be nice to see some early signs that it was beginning to stabilize, and we haven't seen that yet.'' ``There's further to go'' in revealing losses.

The more information that is made public about potential losses ``the better,'' as it will help ease uncertainty.

He added that a ``broader repricing of risk'' that increases the cost of credit and discourages spending ``would require offsetting policy actions, other things being equal.''

The short-term funding markets for banks remain under stress.

Kohn also said "we should not hold the economy hostage to teach a small segment of the population a lesson.""However, in my view, when the decisions do go poorly, innocent bystanders should not have to bear the cost,"

Kohn reinforced markets' belief that the Fed will cut rates at its Dec. 11 meeting.

Tracking the Dow on Wednesday 28/11/07

A second day of partying at Wall Street,but look out..!there's a big hammer 30 minutes towards the closing bell.The party is ending.."a graveyard doji" at the closing.The leftovers and trash are goin' to be buried.

After four days of consolidation,the Dow spike up surprisingly otherewise which it will still be held at ransom.Its sustainability is in question as the surge is base on "HOPE" and not adhering to market fundamentals.External forces will still influence the market.