How do you figure the value of stock increasing reduces borrowing costs? I don't know of ANY financial institution that bases the interest rate of a loan on th

How do you figure the value of stock increasing reduces borrowing costs? I don't know of ANY financial institution that bases the interest rate of a loan on the value of a company's stock. It is, in every case I've seen, based on their credit rating. You could have a stock that's through the roof, but if you don't pay your bills on time that means absolutely nothing to me as a financial institution. On the flip side your stock could be in the gutter, but if you are financially viable and pay your bills on time, I couldn't care less. Generally speaking there is a correlation between stock price and "health of the company", but not always. Finally - stock price increasing creates jobs???? Source? I have never, in my life, heard of a company of any size hiring people because their stock went up. That's the most ludicrous thing I've ever heard.