Raising interest rates is a tight monetary policy, and the Fed responds to the current economy by raising interest rates. Generally, raising interest rates can increase bank interest, thus reducing the money supply, and the dollar will appreciate. In addition, higher interest rates will have an impact on the economy. For example, after the appreciation of the dollar, the price of gold will fall, and everyone is more willing to hold the dollar; The currencies of other countries will depreciate and so on.
The Fed's policy of raising interest rates and cutting interest rates will have an impact on the stock market, bond market, foreign exchange market and commodity futures market. It is very important for retail investors to make short-term stock trading with low handling fees. The minimum financing rate for Galaxy Securities, Haitong Securities, Guotai Junan Securities and Guo Xin Securities is 4.5%.
The influence and significance of the Federal Reserve's interest rate hike and interest rate cut.
1, the Fed raises interest rates.
Raising interest rates by the Federal Reserve usually means economic growth in the United States, and inflation may increase, so it is necessary to control inflation. The tight monetary policy of the Federal Reserve will increase residents' deposit interest and bank savings, while raising the loan interest rate will increase the financing cost of society, thus reducing social mobility and alleviating inflation to a certain extent.
2. The Federal Reserve lowered interest rates.
The Fed usually cuts interest rates to stimulate economic growth, reduce borrowing costs and promote investment and consumption. Fed's interest rate cut is a loose monetary policy, which will reduce the interest of residents' deposits in banks and reduce their savings, thus increasing people's desire for investment and consumption and increasing social mobility to a certain extent.