Morgan Stanley's Wilson: Correction in US stocks is in its final stage
Wilson from Morgan Stanley noted that the correction in the US stock market has reached its final stage and the benchmark index is expected to recover from its target range.
Morgan Stanley analyst Wilson stated that the correction in US stocks is in its final stage, noting that the benchmark index is approaching the target range of 7,100-7,300 points and is expected to recover from this level.
Wilson stated that the US benchmark index is approaching the downward target range of 7,100-7,300 points. The index dropped 2.7 percent last week to 7,376.86 and lost 5.7 percent in value compared to its record level on October 6.
In a note he published, Wilson recommended adding positions in quality cyclical stocks whose values have dropped significantly and that will exhibit strong earnings per share in the next few weeks, rather than waiting for a perfect bottom level. In addition, the team believes that the risk regarding the establishment of data centers following the midterm elections is limited.
Sources
- bloomberght.com · Link