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Rising Rates Make Big Companies Even Richer

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The Fed raised interest rates to slow the economy—but at some big companies, the moves had the opposite effect, boosting profits and spending power.

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The amount companies earn from cash in the bank is going up even as interest costs fixed during the pandemic stand stillMicrosoft paid exactly the same interest, almost $500 million, in the latest quarter as a year earlier, but it earned substantially more on its cash and short-term investments.

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