The market would have discounted the information, which would already be reflected in the price.

But he said the market had anticipated Ford's announcement and thus discounted much of its effect on share prices.

He said the stock price plummeted today because "the market is discounting the credibility of management."

The market has discounted too many things, however, leaving very little room for disappointment, he added.

The market has already discounted the fact that Toyota's earnings now will be quite poor, perhaps worse than the company is expecting.

The market, he argued, "is way ahead of itself and has discounted good earnings long before we're likely to see them."

And the market may have already discounted the stock for the dividend cut before the actual announcement.

Though there are reasons to worry, it seems likely that the market has now discounted all but the most disastrous outcomes.

Second, the markets are already discounting a very negative environment and outlook.

"The market is basically discounting itself now for a war," one trader said.