In the Ring With the Fed

This column was originally published on RealMoney on Dec. 1 at 2:34 p.m. EST. It's being republished as a bonus for TheStreet.com readers. For more information about subscribing to RealMoney, please click here.

There's a battle going on between the Federal Reserve and the market over the outlook for the economy and the appropriate monetary policy.

In This Corner...

The Fed's position is clear; as it expected, the economy has slowed. However, as Chairman Ben Bernanke said recently, "Outside housing and motor vehicle sectors, economic activity has, on balance, been expanding at a solid pace." The Fed suggests that weakness in housing and autos is likely to be self-correcting and, in any event, unlikely to spill over and undermine the overall economy. ...