This Sentence Describes The Challenge Of The Yellen Era

"Yellen is likely to face questioning on income inequality, the labor market, exiting QE, and the recent strains in EM."

That's from Morgan Stanley chief economist Vincent Reinhart, and the "questioning" refers to the new Fed Chief's first appearance in front of the Financial Servicess Committee on February 11. But it basically describes her overall challenge.

The Bernanke era will be remembered for massive economic swings, and the unusually large amount of Fed firepower it took to counteract the downturn.

The Yellen is already shaping up to be more subtle and tricky. Exiting policy smoothly while pushing for a real robust labor recovery may take more finesse and creativity than what the Fed has been forced to grapple with in recent years.