US stocks are in the 'death zone' and could crash 26% within months, Morgan Stanley's top strategist says
Investors have scooped up stocks as they expect the Federal Reserve will start cutting interest rates by the end of the year. Lower rates tend to lift stock prices because they support higher spending and cheaper borrowing, boosting the future cash flows that make up a core part of companies' valuations.
Wilson has repeatedly warned that the market rally won't last. He expects inflation to prove stickier than many expect, forcing the Fed to hold rates higher for longer to bring soaring prices under control. "The bear market rally that began in October from reasonable prices and low expectations has morphed into a speculative frenzy based on aWilson has said since late 2022 that the S&P 500 is likely to bottom out at 3,000 points this year – 26% below the 4,080 points it traded at as of Friday's closing bell.
Indonesia Berita Terbaru, Indonesia Berita utama
Similar News:Anda juga dapat membaca berita serupa dengan ini yang kami kumpulkan dari sumber berita lain.
Investors have pushed stocks into the death zone, warns Morgan Stanley's Mike WilsonThe air is getting thin for stock-market investors, warns Morgan Stanley strategist Mike Wilson.
Baca lebih lajut »
Morgan Stanley says these stocks are making improvements on ESG that can also boost returnsMorgan Stanley highlighted a 'rate of change' metric that gauges how much of an improvement a company is making on environmental, social and governance issues.
Baca lebih lajut »
Meet the SpaceX Crew-6 astronauts launching to the International Space Station on Feb. 26The first long-duration astronaut from the United Arab Emirates will be among four crew members flying to the International Space Station on Feb. 26.
Baca lebih lajut »
Prime Video Schedule February 20-26: New TV & MoviesThe 2022 eerie horror Smile is part of the Prime Video schedule for February 20-26, among other titles debuting this week.
Baca lebih lajut »
Paramount+ Schedule February 20-26: New TV & MoviesThe Paramount+ schedule for February 20-26 features Cyrano starring Peter Dinklage, among other interesting additions.
Baca lebih lajut »
Netflix Schedule February 20-26: New TV & MoviesAn intriguing horror comedy starring David Harbour and Anthony Mackie is debuting on Netflix as part of the schedule for February 20-26.
Baca lebih lajut »