Nov 18, 01:37 AM

Wall Street Scales Back Earnings Growth Estimates Amid Conservative 2025 Outlook, Cautious on Chinese and Korean Stocks

Wall Street is scaling back estimates for earnings growth, which has been a cornerstone of the market rally. Analysts remain conservative about their 2025 profit outlook, potentially setting the market up for pressure should earnings come in as projected. Wall Street brokerages have turned more cautious on Chinese stocks due to persistent deflationary pressures and geopolitical tensions. Morgan Stanley has picked Chinese stocks to navigate the tough US tensions. In South Korea, the Financial Services Commission (FSC) has described the recent stock sell-off as excessive and plans to stabilize the market as needed. Goldman Sachs has downgraded Korean stocks to market-weight. Goldman Sachs downgraded Honasa to Neutral from Buy, cutting its target price to Rs 375 from Rs 570.