Look at the 2-year chart!
http://quote.yahoo.com/q?s=^DJI&d=2y
All you say is true and more, but since this time two years ago, we're up 25% which isn't shabby at all. It's funny how the critics are stuck in this pattern worse than the market participants: looking at the last 9 months could tell tales of doom and gloom, but what: were you looking for a sure thing?
For even better perspective, look at the 5 year one.
http://quote.yahoo.com/q?s=^DJI&d=5y
/jordan