“Dangerous Drop Ahead? Watch Out for December Stock Market Risk!

by Safe Retirement Reports

Recent economic reports have sent shockwaves through the stock market and investors are bracing themselves for what could be a dramatic downturn in December. While some market watchers are optimistic that we could still have a year of good returns, there is a clear and present danger of a market downside in December.

The recent sharp rise in the price of crude oil, the ongoing US-China trade conflict, and surprisingly weak economic data have added to September’s weak performance. As the markets around the world continued to drop, investors started to gear up for a challenging end to the year.

The chopping and changing nature of global markets has added more uncertainty to the already complex landscape. With the ongoing trade war, economic sanctions, and questions over global growth, investors are understandably anxious. The news around Brexit has added even more uncertainty to the mix, as the UK looks to negotiate the exact details of their departure from the European Union.

The possibility of a market downside in December suggests that the economic data could continue to be weak, however, it is worth noting that this could come with some positives too. Over the past few months large-scale stimulus plans have been employed across the world, meaning that these could start to Gear-up in the coming months. This could result in economic growth and in turn, make markets healthier than they have been for some time.

While a market downside is a real possibility in December, it is worth noting that the current environment should still provide room for some economic growth. Investors should be keeping their eyes out for global news, taking advantage of lower interest rates, and being selective when it comes to their stocks. This could help to cushion the blow if there does look to be a market downside in December.

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