Santelli Exchange: How Messy with the Fed's Exit be?

Can The Fed Ever Exit?

Can the Fed ever exit?  The short answer is no.  The ability to unwind the purchases of toxic mortgage-backed securities and US Treasury bond assets will be constrained because they would have purchased said assets at too high a price. When interest rates rise (and they will rise at some point since they can't drop much below zero), they will guarantee the negative returns of the Fed's buy high / sell low bond-purchasing monetary policies.

http://www.zerohedge.com/news/2012-10-06/can-fed-ever-exit