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As they should as market values stocks as expected average (and time discounted) risk free rate + risk premium. This means stocks will return less in low rates
by bluecalm 1y ago
As they should as market values stocks as expected average (and time discounted) risk free rate + risk premium.
This means stocks will return less in low rates environment unless there is a lot of additional growth.
- hdgvhicv 1y agoThat seems to contradict > Low interest rates make borrowing cheap, so companies flood money into real estate and stocks