FAST FIVE: Mike Wilson: This Slowdown Is Even Worse Than We Expected… Stocks Will Hit 3,000 Late This Year
Stocks Will Hit 3,000 Late This Year Morgan Stanley's uberbear Michael Wilson continues to have his cake and eat it too: on one hand the bank refuses to make a recession its base case; on the other Wilson continues to predict increasingly gloomy market outcomes as if he anticipates not a recession but a modest depression.
This is notable because last week, Wilson discussed how the direction of equity markets would be partially decided by their interpretation of this move in rates.
For June, the headline reading came in at 53 which is still in expansionary territory, if badly missing expectations.
That said, during a mid/late cycle slowdown, this is about where the index would stop going down, according to Wilson.
The question, as Wilson asks, is whether it's done going down.