\n \n \n “. concat(self. i18n. t(‘search. voice. recognition_retry’), “\n
By Lewis Krauskopf
NEW YORK (Reuters) – A rally in U. S. stocksThe U. S. economy still has five percent left, but it will most likely remain just a “bear market rally,” according to Morgan Stanley’s equity strategist, who sees negative trends in corporate earnings and economic indicators.
Friday, the S
In a note published ahead of The Market Opening on Tuesday, Morgan Stanley equity strategist Michael Wilson said the index could rise 5% as “it’s no wonder we’re now seeing some relief given the oversold market. “
However, as more and more people on Wall Street are now involved in the dangers of higher inflation and slower growth, “that doesn’t mean it’s completely priced in,” Wilson said.
“We remain firmly in the field of bear market position, but relief rallies can take a position at any time, and it turns out we are now in the middle of one,” Wilson said. Provides that the S
The market has already experienced a rally that has this year, the S
The most recent rally appears to be based in part on expectations that the Federal Reserve will possibly scale back its rate-raising plans later this year. BofA strategists said last week that the central bank would likely suspend its tightening in September, leaving its benchmark day-to-day. interest rate at a diversity of 1. 75% to 2% if the monetary situation deteriorates.
However, the Fed’s tightening trajectory is certain.
Fed Gov. Christopher Waller said Monday that the central bank will be ready to raise interest rates by a part of one percentage point in both meetings from now until inflation is firmly under control. The Fed is expected to raise rates through 50 core issues at one of its next two meetings.
(Reporting through Lewis Krauskopf; Edited through Marguerita Choy)