The announcement last Wednesday, of coordinated action by the Fed, ECB and other central banks to boost global dollar liquidity, will presumably have increased speculation that the Fed could take further action to boost the domestic economy. We doubt that the Fed is now going to announce a third round of quantitative easing as soon as the next FOMC meeting on 13th December, although we do anticipate that it will resume large-scale asset purchases in the first half of next year.