I like the Amylin metaphor... especially when AMLN was tradeing at around a buck a share not that long ago.
If there is a bear market as I believe, I think in the short run 'everything' will be effected: gold was down today, stocks, large cap, small cap, but in the medium-long term, I think that small cap biotech will remain independent, adhering to their story stock status: will it be Psycho, Rosemary's Baby or Rocky? depends on the story, not the sub prime mess. Having said that, borrowing will get more difficult at all levels.
I may be in a minority of one here, but I think we are on the cusp of a major economic downturn, triggering down turn lead down the pot by real estate. What amazes me is this: am I the only one out there to have 'any' fear? Watching CNBC is like watching cheerleaders cheer on the home team; I don't see any balance there.
I believe small cap biotech, gold, silver et al will be the bright spot.