Don't expect stock market to rally when interest rates hikes are announced: Here's why

The interest rate hike season is back. Though RBI did not increase rates during its recent policy review meet, other central banks appear to be on a rate hike spree. Bank of England has hiked rates by 25 bps twice in the past three months, taking it to 0.5%. Central bankers from other emerging economies have also jumped into the rate hike wagon. The Brazilian central bank has increased the economy’s basic interest rate thrice in recent times.

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