– The market is holding its breath this morning. It’s waiting to see what the fate Lehman Brothers (NYSE:LEH) will be. According to MarketWatch, “the brokerage is believed to be in its last hours of independence.”

– After yesterday’s wild ride, US stock futures are pointing mostly down. S&P 500 futures fell 2.9 points to 1,249.10. Dow industrial futures fell 12 points. Only Nasdaq 100 futures are up. They rose 1.5 points to 1,783.25.

– It seems pretty clear from where we’re sitting that the government’s welfare for Wall Street shenanigans this year have convinced the market that it doesn’t need to worry too much about the demise of another big bank.

Republicans like to call themselves the party of fiscal discipline. But Charles Delvalle says it’s actually Democrats who are more likely to reduce the federal budget. If Obama makes it to the White House, you may want to bet on a stronger dollar with the Rydex Strengthening Dollar ETF (RYSBX).