At this moment the Dow is up 240 points on news that the IMF , with US backing (read Federal Reserve) is coming to the rescue. I guess the fact that even the Germans were staring to get really scared motivated the Fed, er, the IMF to move.
The world economy is in a tailspin. The decent has been slowed, but the massive debt that plagues the West is taking its toll, and will continue to. The end destination is still the same if we fail to repent for our fiat currency ways.
Merry Christmas Wall Street. Enjoy that weaker dollar. The American consumer which constitutes more than half of the US economy won't.