Big day today. Bernanke and the Fed come out and supposedly tell us what’s up with the economy. Many people feel that the economy is on firm footing because the stock market has been so strong and employment is improving. Unfortunately, all this is stimulus related from the QE1 and QE2 programs. So now he walks he tight rope: Pull stimulus altogether and risk falling back into recession and deflation. Employ a strong stimulus program and it comes across as desperate and inflationary. Therefore, we’ll see him walk the walk and continue some form of stimulus through maturities and redemptions of the existing Fed bond portfolio. This should make everybody happy and push stocks higher.