A. The relationship between interest rate and stock price seems to be remote, but it's real, and complicated.
When you evaluate a potential investment, you want to estimate its intrinsic value, which is based on future estimated cash flow divided by a discount rate. When interest rates are lower, there are two implications.
First, lower interest rates imply distressed economic environment, a company's ability to generate superb cash flow will be impacted in such an environment.
Second, lower interest rates imply lower discount rates, meaning an investor's expectation on return will be lower as well.
Combine the above two implications, you will find it's hard to pinpoint the exact direction the lower interest rates on stock prices. However, we know one thing, if you forecast a company's ability to generate future cash flow based on its past (when interest rates were higher) records, you will greatly exaggerate its intrinsic value.