Long Term Perspective
This chart reflects the inverse relationship between stock prices and interest rates -- most of the time! In some cases, stock prices rose even as interest rates were increasing and fell as interest rates were declining.

Short Term Perspective
The combination of lower interest rates and declines in yearly returns in the DJIA signaled the slowdown in economic activity we saw in 2001. The yield on the 10-year note was roughly unchanged in October; the Dow increased on a monthly and yearly basis in October.

S&P 500 vs. Russell 2000   •   Dow Jones Industrials vs. Nasdaq Composite

Wilshire 5000 vs. PSE Technology 100   •   Interest Rate Yield vs. Stock Market Growth