We head into the second half of the session with a mixed market on our hands. The Nasdaq Composite (COMP) is down a percent and a half while the Dow Jones Industrial Average (DJIA) is flat. The S&P 500 (SPX) and Russell 2000 (RUT) are each trading somewhere between those two extremes.

A look to the sector action shows the PowerShares QQQ Trust (QQQQ) is one of the weakest areas. Tracing down that weakness begins with Microsoft (MSFT) and Google (GOOG). Shares of MSFT are down more than 7% while those of GOOG are down more than 9%. In a post earlier this week - Baidu.com, Inc. (BIDU) and Google Inc (GOOG) Tied at the Hip as Earnings Approach - I noted the consistent alternating reactions to Google's earnings. Today's drop would seem to continue that pattern.

Click here for symbol descriptions

I have also picked up a couple of emails this week that I wanted to share as I thought each provided some interesting food for thought...

Mike says -

"I have been noticing the COMP held up much better than the SPX regarding the earlier lows and think the Qs could be good for a pop this week or next. Is it me or is this eerily similar to 2002 with the slow grind down, growing negativity but not capitulation? We may be setting up for another Oct (or election?) low. Who knows? Thanks again!"

"Nick, Just chiming in on your entry about the financials. Interesting. Another factor here could be the huge amount of overhead calls--particularly at 20 and higher. If XLF closes below 20 tomorrow there will be tons of contracts expiring worthless. Could one of factors contributing to the upside move here be related to the huge amount of people feeling pain if all of those contracts expire worthless? I would also think that XLF could be pretty vulnerable to additional downside moves if we don't see any further encouraging signs like Wells Fargo gave yesterday."