My worry about the markets...

Last week Bernake did a back door bank bailout package through QE 3, which purchases 40 billion a month in MBS and keeps interest rates low through 2015. I think we all know that does nothing to improve the real economy, it just keeps the Too Big To Fail banks operating with imaginary accounting using imaginary money. All of this imaginary crap though will come crashing down if bullets start flying on any of the multiple hot spots now developing around the world.

I mean really, pick your poison. A Youtube video has set off another iteration of middle east unrest, Israel is picking a fight with Iran, and now the Chinese are picking a fight with the Japanese over disputed island territory. I'm sure there are many other domestic unrests simmering here in the US that are on the verge of popping.

The thing is folks, that just as markets have a tendency to get collectively deluded, they also have the tendency to panic at a moments notice. A few errant missles fired in any of those hot spots just mentioned, or an OWS inspired attack on the NYSE, and these markets could drop quickly and furiously.

Things are so tightly wound at the top that it seems truly like a "higher they climb, the lower they fall" scenario.