Comments on: Is there any relationship between interest rate and stock market in a country ? http://www.exportblueprint.com/blog/1078/is-there-any-relationship-between-interest-rate-and-stock-market-in-a-country/ The Three Proven Principles Of International Sales Success For Small & Medium-Sized Companies Sat, 01 May 2010 04:25:59 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Veritatum17 http://www.exportblueprint.com/blog/1078/is-there-any-relationship-between-interest-rate-and-stock-market-in-a-country/comment-page-1/#comment-3367 Veritatum17 Thu, 10 Dec 2009 14:02:59 +0000 http://www.exportblueprint.com/blog/country-market/is-there-any-relationship-between-interest-rate-and-stock-market-in-a-country#comment-3367 Changes in the interest rate generally affect the stock market rather than the other way around. An increase in interest rates means an increase in the cost of borrowing, which is a business cost; this means lower profitability for producers, a decrease in funds borrowed for finance companies, and a decrease in sale of goods that require financing (autos, houses), etc. Generally, then, there's an inverse relationship between interest rate shifts and short-term stock performance.<br><b>References : </b><br> Changes in the interest rate generally affect the stock market rather than the other way around.

An increase in interest rates means an increase in the cost of borrowing, which is a business cost; this means lower profitability for producers, a decrease in funds borrowed for finance companies, and a decrease in sale of goods that require financing (autos, houses), etc.

Generally, then, there’s an inverse relationship between interest rate shifts and short-term stock performance.
References :

]]> By: hereiam http://www.exportblueprint.com/blog/1078/is-there-any-relationship-between-interest-rate-and-stock-market-in-a-country/comment-page-1/#comment-3366 hereiam Thu, 10 Dec 2009 13:16:59 +0000 http://www.exportblueprint.com/blog/country-market/is-there-any-relationship-between-interest-rate-and-stock-market-in-a-country#comment-3366 yes there is, if there is a functional financial market, the relationship through asset valuation, in short.<br><b>References : </b><br> yes there is, if there is a functional financial market, the relationship through asset valuation, in short.
References :

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