Friday, June 8, 2018

How Do Interest Rates Affect the Stock Market?

"The investment community and the financial media tend to obsess over interest rates—the cost someone pays for the use of someone else's money— and with good reason.

...while it usually takes at least 12 months for any increase or decrease in interest rates to be felt in a widespread economic way, the market's response to a change (or news of a potential change) is often more immediate.

Understanding the relationship between interest rates and the stock markets can help investors understand how changes might affect their investments and how to make better financial decisions."

Read more here.

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