Morgan Stanley’s Wilson Sees S&P 500 Losses After Bear Rally

  • S&P 500 still not priced for earnings, macro slowdown: MS
  • Strategist sees technical support for index close to 3,400
Deutsche Bank: Time to Go Back to Neutral on Stocks
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The latest bounce in US stocks is a bear market rally and more declines lie ahead, according to Morgan Stanley strategists.

“With valuations now more attractive, equity markets so oversold and rates potentially stabilizing below 3%, stocks appear to have begun another material bear market rally,” strategists led by Michael Wilson wrote in a note on Monday. “After that, we remain confident that lower prices are still ahead.”