Morgan Stanley predicts a tough month for the US stock market

December will be a difficult month for the U.S. stock market, which is to blame for the high volatility of government bond yields, said Morgan Stanley strategist Michael Wilson. Price instability is also possible on stock exchanges, but it will be short-term. The expert's opinion is reported by Investing.com with reference to Bloomberg.

In November this year S&P 500 showed the best growth compared to the results of the last 23 years for the same month - it increased by 8.92%. The driver was the hopes of players that the regulator will soon move to reduce the key rate amid falling inflation and weakening economy. Now the index is in the overbought zone, which usually portends a soon fall, the portal writes.

At the end of Monday, the main U.S. stock indices showed a decline - Dow Jones lost 0.11%, S&P 500 - 0.54%, Nasdaq - 0.84%. This week, players are expecting the release of the November employment report in the U.S., as well as data on business activity indices in the services sector in the United States and Europe.