Posted by Following the massive risk rout last night, the Fed has blinked, and signalled – via the WSJ’s gun Fed watcher, Jon Hilsenrath – that they can and will do more.
Jon notes that Bernanke made his name arguing that the BoJ should have done more, sooner; and also notes Bernanke’s favourable view of FDR’s experimental approach to policy-making.
Apparently options on the table are stronger forward guidance, more LSAPs (QE3), lowering the IOER rate, and further experimental policy.
Perhaps we will not have to wait until 2012 to see QE3 after all …
ricardian ambivalence 
Any further qe or other stuff that isn’t accompanied by a clearly enunciated forecast target will not work. unless that is what is meant by stronger forward guidance. Maybe they are crawling.
Not yet reflected in US stock futures. I agree with Manny C.