Tag: Economic Influence

The financial climate can be significantly altered by the central bank's monetary policy decisions, and one of the most influential tools at their disposal is the setting of interest rates. An interest rate hike, a commonly implemented measure to curb inflation or cool down an overheating economy, can have far-reaching effects on the share market. Understanding Interest Rate Hikes An interest rate hike occurs when a central bank, such as the Federal Reserve in the United States, increases the cost of borrowing. This action typically aims to slow down spending and...