Saddam (search) is still alive and he's angry. Planes are still flying and they're vulnerable.

You'd think with a one-two punch like that, the markets would be tumbling. They did not and they are not. And here's why: I think Americans are a lot more upbeat about the news than the people who give them the news.

It’s scary to think Saddam's still out there, but it's not terrifying. He might threat and rant and rave, but he's out of power and increasingly out of options.

And contrary to a thoroughly nameless and on the record "source-less" story in the Washington Post, air travel (search) today is deemed pretty safe by those who have the most riding on it: the folks who put their fannies in those seats – passengers -- you and me.

I'm not here to say we shouldn't report disturbing news, but we should put it in perspective. Whether he's caught or not, Saddam is out of power. And whatever horrible things terrorists might be planning, it's a lot harder for them to plan attacks on airplanes than it used to be.

No, all is not perfect. But it's a lot better than it used to be. You are hearing about how tense things still are in Iraq. But you aren't hearing about people returning to work in Iraq, finally getting food in Iraq, seeing water supplies opening up in Iraq and even once all but shut oil wells, pumping again in Iraq.

You are hearing about the hassles of flying in this country and nameless threats to air travel in this country. But you aren't hearing about the fact this has been a strong summer for air travel, that flights are safer, pilots more aware and even passengers more alert.

As I said, the world is not perfect. But judging from reaction I saw in the markets today -- a great read of consumer sentiment if ever there was one -- the world's not so dire either. No matter how much a deposed despot tries to make it otherwise, or a nameless, faceless, source-less and as I can see it, baseless report on air travel wants to make it otherwise.

Watch Neil Cavuto's Common Sense weekdays at 4 p.m. ET on Your World with Cavuto.