The Federal Reserve announced in March that it intended to spend $300 billion to buy long-term government bonds over the 6 months through September, a plan designed to boost the price of Treasuries and drive down interest rates.  Following its 2-day meeting last week, the Fed indicated the program, which had reached $253 billion in purchases, will shut down at the end of October, a month later than originally scheduled.  The stock and bond markets interpreted the Fed's action as a sign of confidence in an economy that no longer required an emergency rescue (source: Federal Reserve).  
 
The government has already spent more money during the 2009 fiscal year ($3.0 trillion) than the country did during any other year in history and there are still 2 months yet to go.  The 5 largest monthly deficits in US history have occurred during the current fiscal year, a 12-month period that began on 10/01/08 (source: Treasury Department).          
 
Fed Chairman Ben Bernanke will reflect on a turbulent year for the global economy when he speaks on Friday at an annual conference held in Jackson Hole, WY.  It was at this gathering 2 years ago that Bernanke said "it is not the responsibility of the Federal Reserve--nor would it be appropriate--to protect lenders and investors from the consequences of their financial decisions" (source: International Business Times).