Morgan Stanley Says Bottom Near for Emerging-Market Equities
- Raises emerging, Asian stocks to overweight from equal-weight
- Upgrades Korea, Taiwan and semiconductors for the new cycle
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Having endured a long stretch of losses, stocks in emerging markets and Asia excluding Japan are close to completing their bear-market cycles, according to Morgan Stanley.
It’s highly likely these markets are bottoming amid “abundant” signs of extreme selling, the investment bank’s strategists including Jonathan Garner wrote in note Tuesday. They upgraded emerging-market and Asia ex-Japan stocks to overweight from equal-weight.