One chart: Higher rates are usually bullish for stocks
Some investors have been worried about the sudden rise in interest rates over the past months. Higher interest rates have helped spark a rotation from high-growth technology stocks to more value-oriented sectors like energy and financials.
But according to LPL Research, rising interest rates tend to be accompanied with rising stock prices.
But according to LPL Research, rising interest rates tend to be accompanied with rising stock prices.
If an improving growth outlook is part of what's driving rates higher, it should also support corporate profits, creating a positive fundamental backdrop for stocks.
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小聪哥_ : Pull up the shipments.
Li Mu Bai : The inflationary pressure is due to higher cost of goods attributed to supply bottlenecks and disruption. It is not demand driven but supply induced. The Fed does not appear to give much weight to this and is bent on monetary tightening, possibly for political considerations, esp with mid term election this year. I dont see how in such a scenario, stocks esp growth ones can do well
Teewill84 : word
ahleepapa : BUY
和易的詹姆士 : Fart
ksng1760 Li Mu Bai: May be due to over printing of dollars as well
101785677 : Low rates -> bullish
Rising rates -> bullish
Everything -> bullish
Lol
Durian Crust : You gonna baghold a long long time if you believe this trash
Cosmic investor : Amc
PandaMoo : Somehow I agree with this, I notice the spike in stocks' prices during monetary crisis recession 98, 08, 09, 16. Can't really recall 2012.
Anybody can help to explain why that happened?
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