Do you really think that the market waits for the depression to hit and THEN react? Hell no. The market anticipates disaster and THEN reacts to it in anticipation of it happening.
With the US having the 2nd highest corporate tax rate in the world (2nd only to Japan), we are in deep trouble. Add to that fact that we are the ONLY industrialized nation even considering raising that corporate tax rate - and the entire rest of the world is CUTTING their corporate tax rate, it makes normal people wonder WTF is going on.
The market is anticipating the Obama tax hikes on all fronts and reacting to it.