Does The Fed Think The S&P 500 Will Be At 750 In Jan 2015

At the current pace of 'improvement' in the unemployment rate, it appears the Fed will cease its 'stimulation' in early 2015 - and based on the empirical relationship between unemployment rates and the S&P 500 that implies a healthy retracement to around 750. Seems like the index is comfortable trading back to that level...

 

 

Chart: Bloomberg