Rev Up Value: With Santa’s Sled, The Fed’s On Hold!

Santa Claus has always been known to come bearing gifts for the holidays. But this year, after the Federal Reserve held its interest rate steady, Santa has taken things to the next level and given investors the ultimate gift: Value! The decision by the Federal Reserve not to raise interest rates has opened the floodgates of value. With a no rate increase, banks will be able to keep their borrowing rates low and that means more borrowing power for those interested in investing. It’s not just banks that benefit from the Fed’s decision. Businesses have been encouraged to get to work. Companies across industries are motivated to move forward on their plans. In turn, this boost of confidence leads to increased spending on projects, services, and equipment. All things that help create jobs and stimulate the economy. Individuals benefit too. Low rates mean people can borrow money to buy cars, homes, and a variety of other goods and services at a lower rate. They’ll be able to make more purchases they otherwise wouldn’t have been able to afford. Santa isn’t the only one who’s been revving up the sled this season. Investors are taking advantage of the opportunity as well. With banks offering lower rates on loans, investors can buy stocks and bonds at attractive resale prices. At the same time, they take on less risk as interest rates remain low. Value hunters are keeping an eye out for stocks with strong fundamentals, whose prices may decrease temporarily due to market volatility. They then swoop in to purchase these stocks for deep discounts. Santa’s had a busy year. Thanks to the Federal Reserve’s decision to hold steady on rate increases, the gift of value has been bestowed on the world this holiday season. From businesses to investors, and even individuals looking to make some extra purchases, everyone’s benefitting from the Fed’s holiday present. Santa Claus has always been known to come bearing gifts for the holidays. But this year, after the Federal Reserve held its interest rate steady, Santa has taken things to the next level and given investors the ultimate gift: Value! The decision by the Federal Reserve not to raise interest rates has opened the floodgates of value. With a no rate increase, banks will be able to keep their borrowing rates low and that means more borrowing power for those interested in investing. It’s not just banks that benefit from the Fed’s decision. Businesses have been encouraged to get to work. Companies across industries are motivated to move forward on their plans. In turn, this boost of confidence leads to increased spending on projects, services, and equipment. All things that help create jobs and stimulate the economy. Individuals benefit too. Low rates mean people can borrow money to buy cars, homes, and a variety of other goods and services at a lower rate. They’ll be able to make more purchases they otherwise wouldn’t have been able to afford. Santa isn’t the only one who’s been revving up the sled this season. Investors are taking advantage of the opportunity as well. With banks offering lower rates on loans, investors can buy stocks and bonds at attractive resale prices. At the same time, they take on less risk as interest rates remain low. Value hunters are keeping an eye out for stocks with strong fundamentals, whose prices may decrease temporarily due to market volatility. They then swoop in to purchase these stocks for deep discounts. Santa’s had a busy year. Thanks to the Federal Reserve’s decision to hold steady on rate increases, the gift of value has been bestowed on the world this holiday season. From businesses to investors, and even individuals looking to make some extra purchases, everyone’s benefitting from the Fed’s holiday present.