The recent movements would have to be the institutional buyers coming in quickly and selling out quickly in order to take short term profits. The day traders are probably making money too, but they come and go.
The BS that you here about news affecting the markets is mostly horsepoop. All I see is short term profit taking behavior. It will probably continue for a while.
The credit squeeze is still very real. I spoke with some clients today that had their credit lines taken away from them - to the tune of 100 million.
The 3-month Overnight Index Swap is still sitting at 1.12 - meaning that banks are getting lots of cash from the Fed at the discount window, but they're not loaning anything amongst each other. The Fed will have to figure out how to get the banks to loan. If they don't, then we will see the Fed take controlling interest in some of the bigger banks in order to force the situation.