Fed says rates stay low at least through mid-2013

[Chris Martin]

In recent history, I can't remember when the FOMC came right out with a target date that was so far out (2 years). In the FOMC statement they say "The Committee currently anticipates that economic conditions--including low rates of resource utilization and a subdued outlook for inflation over the medium run--are likely to warrant exceptionally low levels for the federal funds rate at least through mid-2013."

Sounds like borrowing rates will stay low for the 'foreseeable future' which is good news for borrowers. The main concern I had was with the cost and terms of commercial loans... with this announcement, lenders now should have a better sense of intermediate term rate direction and possibly we'll probably see increased loan activity as a result. Agree?