This address is a signal of strategies, and it will outline what the president can do in the next two years. And, the Democrats' response that will follow the address will highlight what issues Democrats will concentrate on for the 2008 election.

(Bush) will emphasize the positives. And put a happier face on the economy.

Without a doubt, terrorism and the war in Iraq will drive most of the address, as well as domestic issues such as tax cuts, business growth and rebuilding of the Gulf Coast.

The surveillance issue has been somewhat of an embarrassment for the administration. As some of the things they have done are illegal.

The first and most salient issue is likely to be the war in Iraq.

Many investors are fearful that oracle will acquire this that and the other thing. But my contention is they need to. The software industry is plagued by having too many companies. There are far too many duck hunters for the number of ducks out there.