The Dow closed at over 13,000 yesterday and it’s all everyone can do not to send themselves into anaphylactic shock (except for John Thain—he actually did go into anaphylactic shock. You’ve got to read those labels, people, even non-peanut products “may contain trace nuts”). Our DB Senior Dow Correspondent’s response? “I can't wait for the reaction when we go from 19,000 to 20,000, which at that point will be a mere 5% move -- does anyone realize it is NOT A BIG DEAL anymore?? 1,000 point moves SHOULD happen up here! You’re killing me, Smalls!”

In other news, the graphics guy at the Wall Street Journal is just coming down from a serious acid trip:

[Reporting live from the trenches of Wall Street, we bring you the first dispatch from DealBreaker special correspondent Paul Paftinos.]

In what is expected to become a growing trend, as we see political power shifting from the Anti-Kyoto policy of the Bush/Special-Interest coalition and individual states making efforts to begin adhering to Kyoto-like controls regardless of existing federal standards, Morgan Stanley has followed rivals such as Goldman Sachs and BNP Paribas by throwing its hat in the ring of the burgeoning CO2 Emissions Trading market.

Unlike Goldman though, which simply stuck its toes in the water by lightly trading on the European Trading Scheme, (ETS) which is currently the most advanced platform to trade the new commodity (CO2 Emission Credits), Morgan has instead announced its intention to spend an unparalleled $3 Billion, which "will be used to buy carbon credits in the various emissions trading schemes around the world."

About 90 per cent of the bank's investment will be used to buy carbon credits in the various emissions trading schemes around the world. The European Union has the most advanced carbon emissions trading market, but a global informal carbon emissions market may be developing with schemes in the US, Japan and Australia.

Morgan Stanley will invest the remainder in energy projects that generate lower emissions than conventional energy projects and earn emission credits that can in turn be sold in the various emission schemes.

2.7 Billion is going to buy Morgan a lot of dirty air. And considering there is a fixed amount of credits allocated by member nations, could this be construed as an early attempt to corner the smog market? (cough)

Global push to cut greenhouse emissions [Financial Times]
The Big Money Pouring into Carbon Trading [Financial Times]