Earlier this week, Fed Chairman Ben Bernanke reported that the newly proposed Obama stimulus package could help boost economic activity.

In his speech he reported on the market and the troubles it has experienced in the recent months and year. He noted, "The abrupt end of the credit boom has had widespread financial and economic ramifications. Financial institutions have seen their capital depleted by losses and writedowns and their balance sheets clogged by complex credit products and other illiquid assets of uncertain value."

But, he says, "The global economy will recover, but the timing and strength of the recovery are highly uncertain."

The Fed will play an integral part of this equation, as will the incoming Administration and Congress.