Loading ...In July 1981 the. Fed Funds rate peaked at. 19%-In July 1982–the rates had dropped to 10.6%–THAT’s why stocks started their historic run=because. rates were falling….the DOW bottomed in 1974. at what? About 500? within a rising rate environment, stocks clawed their. way up to the old high [1968] of 1000 DOW & exceeded that in 1982 and it was off to the races…
So with. stocks highly overvalued and at historic peaks…are we to believe that. stocks will explode upwards WITH rising rates…Wolanchuk says they will…I think Wollie may be off on this one…unless the inflation in paper spreads to tangibles and, like Volker, the FED has to raise rates to extinguish inflationary fires…
https://www.macrotrends.net/2015/fed-funds-rate-historical-chart