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Two sectors to watch out for as interest rates continue to rise
By StocksCafe  •  September 24, 2022
<img decoding="async" src="https://lh4.googleusercontent.com/EDNjIwtxDvYibWV67ic9FM1uNqlYwlXl0HoKIvwgXu0x4m775zY-zXYBVkVyT36CoqWjrBt8j6-YFncf9kcrH6vWq9oSuTJnkygiqLfoeOZzxeHq7TOpa_lEOwJYG2rQuev8o83FXgjgHVQojo-BBF0qTomISdKjzXhT7y8eBSwqjOmFOI8CyEVpq1SBTtTlDg0u-g" alt="A close-up of a document Description automatically generated with low confidence" style="width: 550px;"> The spread of the deadly coronavirus impacted not only the day-to-day lives of everyone, but was just as harmful to the economy. Economic activity came to a grinding halt and the monetary policy strategy employed by many countries to reinvigorate the economy was to cut interest rates. Now that the situation has stabilized, interest rates are on the rise to counter the growing inflation.  It might not be immediately obvious to some people how interest rates impact the stock market, but they are interconnected. The central bank’s decision regarding the interest rates has a ripple effect that significantly impacts the stock market. Firstly, it makes borrowing money expensive, and secondly, it raises the return on low-risk investments such as money market funds and bonds. In light of this change, investors immediately start exploring and...
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By StocksCafe
StocksCafe was created originally as a personal project to help me make better investment decisions. I decided to share it because it grew to a project that I believe many can benefit from. Feel free to let me know how it can improve to better assist you ...
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