At least according to Bill Gross at PIMCO

I have to wonder (out loud), if the banks balance sheets finally get repaired where they can stand the hit, will the Fed just pull the rug out from under the economy and let the chips fall as they may? Fed balance sheet expansion has to stop at some point (before the domestic and foreign public and sovereign funds looses confidence in the dollar and start to shun it). The banking system is the Fed's primary responsibility. The economy is secondary to seeing that the banking system does not fail. Once the banking system can take the hit, is that the point that the unwind takes place?

Inquiring minds would like to know.

John

No QE? short ZH article with charts