Bernie,
I will learn how all of this, blogs, work soon. Peaches can have damage from hail, we talked some about that this morning on the air. The other possibility can be from an insect sting. These spots are usually cosmetic and do not effect the fruit itself.My best guess the fruit drop is caused by stress or natural fruit drop by the tree ridding itself of fruit it cannot support. I can't bring myself to thin my peaches as much as I should to grow those great big peaches you buy at the store. In effect the tree is going for survival, thinning even more peaches would be a good idea. Thin until you have 6" between fruit, if you can bring yourself to do it.

Carl