Global markets are going a little berserk this morning, from Europe to Japan, due to fears of recession in the U.S. … Turns out Larry Edelman nailed it last week with his warning that the Fed was jeopardizing a “soft landing” by not lowering interest rates soon enough. The markets obviously agree.

Update – Larry ‘s on target again: “The risk of a recession is real, but the stock market meltdown is overdone.”

Update II — Paul Krugman thinks that the economy is looking “pre-recessionary” — and that the Fed needs to do something fast, i.e. lower interest rates.