Deja Vu Friday?

This morning seems to be shaping up a lot like last Friday. Did everyone decide to just sell and head out to the beach?

Oil is spiking higher today, after really looking like it might start to break down yesterday. Oil has been hovering as high as $136 today, up nearly $4. The energy and ag stocks are mostly higher.

Moody's downgraded MBI and Ambak (ABK) further, and this seems to be weighing on the financial sector as a whole. There has also been some worries about the European banks, following the writedowns we have seen in the U.S. banks.

Asian markets were mostly lower overnight, while the dollar is weak this morning vs. the Yen and the Euro. And the 10-year yield is down to 4.14%.

Investor angst is high in the early going. The volatility index (VIX) is up 6% to 22.83; the ARMS Index hit 1.52 this morning, while the CBOE put/call ratio is high at 1.17. Like yesterday, this should help the market bounce at some point, but I am not sure how many buyers we can find on a summer Friday afternoon. We might have to wait until next week.