The market is down 27. The SFE Futures suggested a 38 point fall in market. The ASX 200 is 5.8% off its low and 21.2% off its all time high. The Dow is now 5.8% off its low and 12.3% off its all time high.

Dow Jones closed down 109. It has rallied 425 points in three sessions. It was down 155 at its low. Financials closed down on a broker downgrade to the biggest four banks on concerns about write-downs on CDOs and mortgages. JP Morgan down 4.2%. Citigroup down 5.9% Bank of America down 2.8% with Goldmans also downgrading earnings forecasts. Commodities did well – CRB index up 2%.

Freeport Mc Moran up 5.4% with talk they could bid for CVRD. Oil up on crude inventory numbers that came in lower than excepted. And Treasury Secretary Paulson proposed more regulation for investment banks that borrow from the Fed (not good for share prices) and the White House is coming up with a plan to control volatility in financial markets. In economic news, Durable Goods numbers fell 1.7% - more than the 0.7% increase expected – second monthly fall on the trot after a 4.7% fall in January and New home sales fell 1.8% in February, a soft number (13 year low – slowest pace since 1994) but better than expected.

Resources up 0.7% this morning and outperforming a market down 0.5% and financials down 1.4% Both BHP and RIO up in ADR form overnight, 1.13% and 2.5% respectively. BHP up 35c to 3566c and RIO up 258c to 12085c. Metals mostly up overnight – Aluminium and Copper both up 1.3%, Nickel up 0.8% and Zinc was unchanged. Zinifex unchanged at 994c.

Oil price up $4.05 or 3.8% to $105.83 after the Energy Department said crude oil inventories were unchanged for the week. Analysts expected supplies to increase by 1.7m barrels. Woodside up 62c to 5361c.

Gold up $14.20. Newcrest up 87c to 3349c. Bonds up with the 10 year yield up to 3.49% from 3.51%.