This has appeared in blogoland:

“If the incoming data are broadly consistent with this forecast, the Committee currently anticipates that it would be appropriate to moderate the monthly pace of purchases later this year,” said Bernanke, referring to the FOMC’s newly-released macroeconomic projections. “And if the subsequent data remain broadly aligned with our current expectations for the economy, we would continue to reduce the pace of purchases in measured steps through the first half of next year, ending purchases around mid-year.”

It wasn’t in the statement but it is consistent with the Fed Funds rate analysis. So, six months, possibly a year away…you would think that the market would calm-the-fuck down. Tomorrow will be an interesting day. I really have no idea which way it will jump, I’m guessing after everyone has had a bit of a think about it, and that at the earliest we’re looking at four months away, the market goes higher.

The thing is this, once a point is passed, automatic selling pressure enters the market via margin calls etc, where positions are just a little too extended to hang on for any bounce. If we sell-off pretty hard tomorrow prior to any potential bounce we might just reach a short term tipping point as it’s not just stocks selling off. Bonds, currencies are all selling off which can provide that tipping point for stocks.