The bin Laden tape has led to some dollar selling. The tape fits with the view of those who think the U.S. economy is at risk of falling into a sinkhole.

What the current deficit does is make the dollar vulnerable. It means we could see a vicious cycle, where a declining dollar makes U.S. assets less attractive to foreign investors, which weakens our assets further, which puts further pressure on the dollar.

This shows our big reliance on imports and foreign capital. As the dollar weakens, that becomes a more and more expensive habit. It makes our imports more expensive, makes the trade deficit wider, makes us even more dependent on foreign capital, weakening the dollar, on and on -- it's a vicious cycle.

The bin Laden tape has caused a knee-jerk reaction on the part of the market.

The market was concentrating on Nigeria, Iran and the latest bin Laden tape.

Cindy Sheehan Bride of Bin Laden.