I sincerely believe the second dip of the double dip is under way.
Read : http://www.nytimes.com/2010/08/28/business/economy/28fed.html?partner=rss&emc=rss ; http://www.ft.com/cms/s/0/3e8f868e-b1e4-11df-ad4d-00144feabdc0.html ; http://www.econoshock.be/2010/het-gevaar-van-een-te-lage-rente/ and many other indications.
I sincerely believe the Fed will not be able to prop up economic activity. You cannot prop up a blob of jelly, and it is no use pushing on a string.
But remember, I am an economist. I believe things because I cannot know them. And there is one constant about economists. Our forecasts or predictions are false 99.99 % of the time.
By the way 99.99 % is not a proven scientific fact either.