2012 should be another disappointing year for US equities

The US stock market is ending 2011 with a whimper. The S&P 500 has fallen so far in December, and is fairly close to our year-end target of 1,200. While we do not expect equity prices to collapse next year, we think the S&P 500 will end 2012 lower still, at around 1,150.

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