The Federal Reserve's control of interest rates can significantly impact the stock market. When the Fed lowers interest rates, borrowing money becomes cheaper. This encourages corporations to borrow more for investment purposes, which can stimulate economic growth and potentially lead to a rise in stock prices. Conversely, when the Fed raises interest rates, borrowing becomes more expensive. This can slow economic growth and potentially lead to a fall in stock prices.
Economics can be intimidating to the person who is not well-versed in business and mathematics. This...
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