There are some fears about inflation but people are even more concerned about what's happening in the corporate credit market.

The Fed is erring on the side of fighting inflation and is willing to risk slower growth.

People are getting defensive, setting up for payrolls. We live from payroll to payroll, and the market fiddles around in between.

I wasn't affected by inflation -- I had nothing to inflate.

The core is up 0.3 percent over the last year, and so there really is no inflation, ... In the first year of recoveries, consumer price inflation tends to fall as it did in the past 40 years. We believe inflation should not be an issue for the foreseeable future.

Since it's broken through that, that sets a negative tone for the market.