Morgan Stanley Turns More Cautious on Asian Stocks, Cuts India

Morgan Stanley is adopting a more cautious stance on Asian equities, trimming its India exposure on concerns that the Iran war may disrupt supply chains if oil flows through the Strait of Hormuz fail to recover.

“We stay defensive,” Morgan Stanley strategists including Daniel Blake and Jonathan Garner wrote in a note dated March 5. “Asia remains critically dependent on Middle Eastern supply of crude oil, refined products and LNG and we believe the market is too complacent about supply chain risks.”