The systematic theory of the formation of the short light pulses in the squeezed state during the propagation in a medium with inertial Kerr nonlinearity is developed. The algebra of time-dependent Bose-operators is elaborated and the normal-ordering theorem for them is formulated. It is established that the spectral region where the quadrature fluctuations are weaker than the shot-noise, depends on both the relaxation time of the nonlinearity and the magnitude of the nonlinear phase shift. It is also shown that the frequency at which suppression of the fluctuation is greatest can be controlled by adjusting the phase of the initial coherent light pulse. The spectral correlation function of photons is introduced and photon antibunching is found.