It wasn't a Black Monday of the 1987 variety, but it was one for the record books

The Dow was down opened downjust over 1,000 points - the biggest intra-day point drop ever

When the market opened down that low, bargain hunters came in for a spectacular rally

Bringing the Dow almost back into positive territory before surrendering those gains and ending the day down 588 points, another 3.5% drop, closing at 15,871

Taking out the 16,000 handle just a few days after taking out the 17,000 handle

All of these drops are being blamed by the media on China

The Dow Jones is down about 11% year to date

After today's drop, the Chinese market was down less than 1%

This is not all about falling Chinese stocks

It's the Fed - Everybody believes the Fed is going to end the party

As we got closer to September, the stock market was already going down

I've said all along that the Fed was bluffing - it is a game of chicken

Finally, today, Barclay's is predicting a Fed rate hike in March of 2016

I think the Fed will launch QE4 before we get to a rate hike in March 2016, which is an election year

The media wants to blame the correction on China, as if there are no domestic problems to worry about

China should be blaming it on us - we're the ones who got the world hooked on zero percent interest rates

The fantasy was that we could raise rates without an impact on the economy

The falling stock market is going to have an impact on the real economy

The economy is weak and getting weaker

This correction will turn into a full-fledged bear market unless we get some official statement from the Fed that they will not raise rates

That may come later this week in Jackson Hole

I am going to be in Jackson Hole at an anti-Fed conference

Here's an example of how ridiculous the "Blame China" rhetoric is:

Maria Bartoromo was talking about the market decline with respect to the China currency devaluation

She actually said that by devaluing the Yuan, Chinese made products will be more competitive against American-made products

America does not produce products that compete with Chinese products!

She's grasping at straws to connect the stock market correction with the Chinese Yuan devaluation

Right now it is positive for America if we can purchase Chinese products more cheaply because we're buying them anyway

Eventually, however, Chinese products will get more expensive when the yuan goes up

She's just trying to fit the narrative because that's what makes everybody feel comfortable

That's why I am not on CNBC and CNN - they realize my comments do not support their editorial policy

I am not talking about Armageddon for the markets - I am talking about the Fed saving the day

I don't think the market is going to crash, but I believe it will go down until the Fed cries "Uncle" and prop up the equities markets with another round of QE

The Federal Reserve did not solve our problems in 2008 - they interrupted the crisis with QE and zero percent interest rates

That crisis would have solved the problem but we kicked the can down the road and we finally caught up to that can

We are resuming the financial crisis that the Fed interrupted from a much deeper hole

Had the Fed raised rates two years ago, we would have been in recession sooner

They should have allowed the markets to solve the problems they caused

Now we have more debt than ever before

I have also been talking about the developments in the foreign exchange markets

The dollar has been strong because rate hikes were expected

The strong dollar has weakened commodities, other currencies and put pressure on emerging markets

We had at one point a 4% drop against the Japanese Yen

The Euro got as high as 117 this morning

The dollar index closed below 93.50, which was a key support

The turn in the dollar index is significant

I expect gold prices to march higher

Gold stocks got crushed today, however,