Small-cap stocks edged lower on the opening, weighed down by concerns over just how the financial rescue plan will play out, and by jitters that special-interest concessions to the bill could block passage. At 10:02 a.m. ET, the Russell 2000 (NYSE:IWM) was down 12.60, or 1.67%, at 741.15.

The bill also looks inflationary in nature, which carries a whole extra burden on the economy and consumers. Inflation talk has been shuffled into the background in recent days because of the financial crisis, but crude oil has been climbing, the dollar is sinking and fixed income investments are under pressure.

Crude oil prices were on the rise again this morning, and have been on the rise in the backdrop of all the commotion surrounding the government’s bailout plans for U.S. financial institutions. Meanwhile, the dollar was getting clobbered this morning, sinking some 1.1% against the euro and 0.8% versus the yen.

In addition, Treasury futures were sinking — not because of money flow into stocks — but because of concerns about the inflationary aspects of the rescue plan, and because of fears that credit instruments will battle against a mountain of new supply to pay for the government’s decision to mop up bad mortgage debt. Gold was also up some 2% this morning, and other commodity markets such as coffee and cocoa were also on the rise. Grains were seen trading sharply higher as well.

Back to the financial drama unfolding, the market will wait for more details on the rescue package and the Congressional take on things. Federal Reserve Chairman Ben Bernanke will speak about the financial markets Tuesday at 10:00 a.m. ET, which will likely be a key moment for market watchers. Earlier this morning, President Bush said that failure to act on the bill would have broad consequences beyond just the pain on Wall Street but that he was confident the legislation would move forward.

Amid the turmoil, Goldman Sachs Group Inc. (NYSE:GS) and Morgan Stanley (NYSE:MS) announced over the weekend that they would shift into bank holding status, effectively ending Wall Street’s legacy of independent investment banks. The move will allow the firms easier access to credit and swing them under the Fed’s regulatory arm. MS shares soared some 14% early this morning amid . . .

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