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A lot of the pressure facing stocks can be attributed to higher interest rates.<br>They might be good for curbing inflation but itu2019s bad for stock prices. <br>Thatu2019s because it increases the costs of capital, which deters businesses<br>from borrowing and investing to expand their businesses.u00a0Rising interest<br>ratesu00a0also cause earnings growth to deteriorate.<br><br>Fortunately, the stock market is forward-looking, and investors tend to price<br>in economic rebounds and earnings growth before it actually happens.<br>Inflation is showing signs of cooling which means both the Bank of Canada<br>and U.S. Federal Reserve
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Is the TSX going to Hit Record Levels in 2023? There’s still a month left in the year but analysts are providing guidance for how they believe the Toronto Stock Exchange (TSX) and S&P 500 will do in 2023. The outlook for stocks listed on the TSX remains bullish while U.S. stocks may experience more volatility in 2023. Learn more at - https://learn-to-trade.com/is-the-tsx-going-to-hit-record-levels-in-2023/
How Will the TSX Do in 2023? A lot of the pressure facing stocks can be attributed to higher interest rates. They might be good for curbing inflation but it’s bad for stock prices. That’s because it increases the costs of capital, which deters businesses from borrowing and investing to expand their businesses. Rising interest rates also cause earnings growth to deteriorate. Fortunately, the stock market is forward-looking, and investors tend to price in economic rebounds and earnings growth before it actually happens. Inflation is showing signs of cooling which means both the Bank of Canada and U.S. Federal Reserve could slow or even pause their aggressive rate hikes. This should help earnings rebound.
Learn-To-Trade.com,Canada’s Leader in Stock Market Trading Courses Analysts are providing mixed guidance for North American stocks in 2023, with the TSX coming out as the biggest winner. The trading professionals atLearn-To-Trade.com can help you navigate the uncertainty in 2023 and teach how to trade more confidently and profit more consistently. Learn-To-Trade.com is Canada’s oldest and leading provider of stock market trading courses, having taught thousands of investors, of every skill level, how to leverage their capital to maximize profits while minimizing risk exposure, in any market. To learn more about Learn-To-Trade.com’s stock market trading courses, contact us at 416-510-5560 or by e-mail at info@learn-to-trade.com.
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