Finance
Morgan Stanley Downgrades Banking Sector as Recession Risk Grows
In premarket trading Monday, shares of banks were all lower alongside US equity futures.
Photographer: Michael Nagle/BloombergThis article is for subscribers only.
Morgan Stanley analysts cut their view on large- and midcap banks as President Donald Trump’s tariff policy increases the risk of recession and threatens to delay any resurgence in dealmaking.
Analysts cut their view on the large-cap and midcap banking sectors to in-line from attractive, according to an April 7 note. Morgan Stanley analysts also cut their sector view on financial advisers and consumer-finance stocks.