December Nikkei 225 futures dropped 790 points in Chicago today to settle at 8,215. Minutes ago in Singapore, N225 futures gapped down 465 points to 8,200 and futures in Osaka fell 440 points to 8,220. Intra-day in Chicago, the low was 8,080. That leaves just 450 points, another sell-off, from hitting the once unthinkable low of 7,630 (set on 10/10 taking us back to the post-bubble trough days of spring-2003). Seems at least for today that the 8,000-level will be held. We haven’t seen very heavy volume in equities. That suggests it is mostly traders with a dearth of sellers and the rest on the sidelines or heads buried in hands. Pay attention to the bickering over a new/modified government stimulus. Interestingly, the government had been selling off equity positions it had acquired years back and had to recently put a halt to that activity. Now, it may be buying again. Don’t agree with that measure, but it may be a necessary evil.