The fall in the broad indices such as the S&P 500 or the Wilshire has been about 20 per cent over the past 15 months, and the price-earning-ratio has come down from a peak of 36 to 26.
No doubt, the balance sheet of the Federal Reserve is large and the attention paid to our pronouncements intense. Nobody would deny that central banks can be quite powerful and that monetary policy works, over time.