1. Changes in interest rates will have an impact on stock prices. In fact, the stock price in the stock market will be affected by many factors, resulting in corresponding fluctuations. Changes in the interest rate itself will have an impact on the stock price. In addition to interest rates, market development and business conditions of enterprises will also have an impact on stock prices. Therefore, before you enter the stock market, you must have a more accurate understanding of the stock market. If you rush into the stock market without knowing anything, it is very easy to lose your blood.
Second, the impact of rising interest rates on the stock price If the interest rate in the market rises, it will lead to an increase in the financing cost of enterprises at this time, which will lead to some problems in the subsequent development of enterprises. In order to maintain the normal operation of enterprises, enterprises may issue too many stocks or bonds in the stock market at this time, and the market value of the company may decline at this time. Then at this time, all investors' expectations of the enterprise itself will decline, so the value of the stock will be greatly discounted at this time, so the stock price of this enterprise will fall, and the turnover of the whole market is not particularly good.
Third, the impact of falling interest rates on stock prices. Rising interest rates will have an impact on the stock price, so falling interest rates will also have an impact on the stock price. Falling interest rates will reduce the financing costs of enterprises, thus further affecting the development of the stock market. Falling interest rates will increase the profits of enterprises, so the value of enterprises will increase at this time. Therefore, investors in the stock market will have great confidence in this stock, so investors will be enthusiastic, so the stock price will rise at this time.