stocks and interest rates have an inverse relationship due to the discount rate and Capital Asset Pricing Model (CAPM). The Fed sets the floor or the risk free rate which is what the Fed will lend at to the Banks. that rate has been 0-25bps for a long time which has the effect of inflating riskier assets like stocks/equities. As the risk free rate increases the discount rate at which equities/stocks are valued and as such will have a negative effect of equities’ valuations. t...