Re:U.S. inflation rate rises to 13-year high of 5.4%
by dragonwriter on Wednesday October 13, 2021 @03:51PM
(#28856749)
> many actual interest rate increases are followed by stocks rallying because a larger rate increase was expected & priced in.
Right, but that just means more than 100% of the fall due to the rate increase occurred earlier when it was anticipated, so the rate increase still caused the fall, in effect.
Re:U.S. inflation rate rises to 13-year high of 5.4%
by whimsicalism on Wednesday October 13, 2021 @03:56PM
(#28856861)
The expectation caused the fall. It's possible to even have an expectation of a rate increase and then not have any at all.
unexpectedly*
stocks tend to fall when interest rates rise unexpectedly.
many actual interest rate increases are followed by stocks rallying because a larger rate increase was expected & priced in.