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Economic news story

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5) Anon. Fed more cautious about U.S. economic recovery, 23 June 2010,
http://www.latimes.com/business/la-fiw-fed-20100623,0,6137107.story

Following a two-day meeting, the Federal Reserve policymakers made a 9-1 decision to continue their pledge to hold rates at record-low levels for an extended period of time. The Federal Reserve argued that doing so well energize an economic rebound for the U.S. Furthermore, the Federal Reserve stated that it was confident that the economic recovery would stay intact, despite the influence of failing economies globally. This decision to keep rates at record lows subsequently raises the demand for Treasuries, sending interest rates lower. However, some critics say that keeping rates too low for too long could yield excessive risk-taking by investors, feed speculation concerning the prices about stock, bonds, and other commodities, and even create inflation. The Federal Reserve has left a key bank lending rate at zero to 0.25%, which means that rates on certain credit cards, home equity loans, and some adjustable-rate mortgages and other consumer loans will remain low. The rate for commercial banks prime lending would remain at around 3.25%. These low rates help borrowers who qualify for loans and are willing to take on more debt. However, the low rates