These 5 surprises could jolt stocks and lead to a surge in volatility next year, BofA says - Business Insider

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These 5 surprises could jolt stocks and lead to a surge in volatility next year, BofA says

Two crossed lines that form an 'X'. It indicates a way to close an interaction, or dismiss a notification.After a strong showing for stocks in 2020, investors are beginning to turn their attention to potential risks that could unfold in 2021.

Whether next year will be as strong for the stock market as 2020, despite a global pandemic that shuttered businesses and economies around the globe, is anyone's best guess. And while the overall default rate is low, a 27 percentage point spike in debt to GDP this year, which is the greatest increase since 2009, the likelihood for policy tightening could lead to more defaults.

 

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