From Pragmatic Capitalism:

Although I'm not expecting renewed recession in the USA this year, it would be foolish to forget that the equity market is not the economy. Complacency is an investor's worst enemy. As risk managers trying to make it to the top of the investment mountain, we have to always be on the lookout for potentially loose rocks. Remember, it's not the butterflies and rainbows that ruin our day. It's the loose rocks. Morgan Stanley provides us with eight risks to the equity markets in 2012:

As of the end of October, U.S. unemployment was 8.6%; the broader measure of unemployment, U-6, was 15.6%.

Medium-term growth may be held back by...

Read full article...

More on stocks:

The great Richard Russell issues a super-bearish warning

Top manager O'Shaughnessy reveals the best stock strategy of the past 50 years

What this week's "Santa Claus rally" means for stocks heading into the New Year