Overall, the stock market remains wary today as it waits for the Federal Reserve’s announcement on interest rates and the President’s State of the Union Address. But while Wall Street trembles, penny stocks remain healthy.

Most analysts expect the Fed to keep rates pretty much where they are now – at historic lows. Even so, the market will be examining every nuance of the Fed’s assessment of the economy for clues as to when the Fed will begin to reduce its support of the financial system.

Additionally, traders across the globe will be tuning in for President Obama’s primetime State of the Union Address. The President is expected to expand on his plans to tighten up on the American banking system.

Meanwhile, the housing market remains weak. Sales of new homes dropped 7.6% in December, bringing new worries about how fast the economy is really recovering. And in midday trading, the Dow Jones industrial average fell 19.12, or 0.2 percent, to 10,175.17. Standard & Poor’s 500 index fell 2.10, or 0.2 percent, to 1,090.07, while the NASDAQ composite index rose 1.36, or less than 0.1 percent, to 2,205.09.

In contrast to Wall Street’s jitters, the penny stock market remains steady, with many stocks holding firm, and some showing some breakaway power.

The major markets were badly rattled by President Obama’s announced intent to restrict the trading activities of major financial institutions. The uncertainty that Fed chairman Ben Bernanke may not be reconfirmed for a second term, has not helped. In response, stocks have fallen in five of the last seven days, showing just how gun-shy investors on the major exchanges are.

But penny stocks are still delivering for investors. The energy and mining sectors remain strong with good penny stocks to buy. For example, in midday trading, Unico, Inc (OTCBB: UNCO) was up 25% and Bonanza Oil and Gas (OTCBB: BGOI) was up 36.32% even on relatively light trading volume.