Morgan Stanley turns bullish on most US assets, except dollar https://t.co/hznKXi3mnB https://t.co/hznKXi3mnB
#MorganStanley has turned overweight US equities and Treasuries from a neutral stance, citing a slowing but still expanding global economy as well as markets’ underpricing of interest rate cuts
Morgan Stanley shifts toward optimism on majority of US assets, with the exception of the dollar.
Morgan Stanley has revised its midyear outlook, shifting to an overweight stance on US equities and US Treasuries from a previously neutral position. The firm cites a slowing yet still expanding global economy and believes that markets are underpricing potential interest rate cuts. Additionally, Morgan Stanley expects the US dollar to continue weakening, forecasting the EUR/USD exchange rate to reach 1.25 and the USD/JPY rate to hit 130 by the second quarter of 2026. The outlook also includes an expectation for gold prices to remain elevated. This shift reflects a more optimistic view on most US assets, excluding the US dollar, which is expected to depreciate. In contrast, BlackRock maintains a different positioning, with an underweight stance on US Treasuries and overweight on US and Japanese equities.
