US equity markets are getting a boost from today's Fed statement. The major indices are up between 1.5% and 2% as the Fed says it can be patient about raising rates. Despite the strong domestic economy, it makes sense for rates to stay low as long as feasible given the tenuous state of the global economy overall. The FOMC statement also continues to include the considerable time language in regard to how long rates will remain at rock bottom. There was some question if they'd leave those words in the statement given the rapidly improving US economy. The Fed expects the US to reach full employment by the end of next year. 2016 is also when the central bank expects inflation to finally reach its target of 2%. Looks like Krugman and others were right... rates probably won't move in 2015. (VIEW LINK)