As the Fed Raises Interest Rates, and Other Central Banks Don’t, What Will That Mean for U.S. Stocks?

The Federal Reserve’s recent decision to begin raising interest rates stands in contrast to many other central banks around the world, which are keeping their baseline interest rates flat or lowering them. 

So, does this divergence of central-bank policies spell good or bad news for investors holding U.S. stocks? Looking at data on how leading stock indexes around the world have behaved in similar circumstances suggests U.S. shares should fare relatively well.