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Morgan Stanley’s Mike Wilson warns U.S. stocks could slump another 22% if recession arrives in 2023

Por: MarketWatch Politics January 10, 2023

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Market consensus currently suggests the U.S. economy will experience , followed by a recovery in the second half as the Federal Reserve is expected to stop its rate hikes and possibly cut rates in response to the worsening economic conditions. However, Morgan Stanley’s strategists led by Wilson said that the Equity Risk Premium (ERP) for stocks, or excess returns investors could receive for holding stocks over risk-free assets, remains “way... + full article



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