In the short term, the money is frozen in the plumbing (banks etc.). Pres. Bush urged the banks to start lending and get the fluidity flowing again. When that happens, inflation will occur. That said, the short term trend does point to asset deflation due to the frozen pipes.
"the foundamental argument I made against yours was that there was no increased money supply. the gov't is injecting capital into the system by borrowing more debt, not by printing money. you were concerned about inflation because you thought the US gov't is pumping new money supply into the system, which is not true."