Why the stock market has fallen in December, and what it means going forward

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The uncertain near-term outlook for the U.S. economy has amplified market volatility, as recession fears weigh on expectations for company earnings.

After rallying in October and November, the S

The uncertain near-term outlook for the U.S. economy has amplified market volatility, as recession fears weigh on expectations for company earnings, analysts told ABC News. However, reason for long-term market optimism has emerged after a monthslong streak of declining inflation and an anticipated slowing of rate increases at the Federal Reserve, some analysts said."December for many is the hardest month to trade," Ed Moya, a senior market analyst at broker OANDA, told ABC News.

"While there is downside risk, overall things are looking more constructive for equities as we look ahead to 2023," he said.

 

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