Tuesday's Recovery Rally Because of, or Despite Weak Crude Oil?

The "$64,000 Question" increasingly is whether or not the continuing weakness in Crude Oil will precipitate a roll-down in the equity indices?

At some point, the acute weakness in energy will transcend from being a consumption windfall to a referendum on a forthcoming global-economic slowdown.

Indeed, if weak oil changes the discussion from the benefits of "extra money in consumers and businesses pockets" to "where's the demand for oil," market psychology could get sour in a hurry.

Add to that, the possible defaults and dislocations created by such a rapid plunge in oil prices, as well as some hedge funds caught the wrong way, not to mention how Wall Street-engineered energy derivatives might impact the markets, and who knows what "can of worms" could be about to open.

In a way, it sounds like the mortgage crisis, but in the energy patch.

All eyes on the results of today's 10-year T-note Auction at 1:00 PM ET.

If it goes really well, and the bond market takes off (YIELD declines) again, that too will be another indication that investors are getting really nervous about the impact of lower oil.