Morgan Stanley: As Moody's downgrades the US rating, investors can buy US stocks on dips

Odaily Planet Daily News Morgan Stanley strategist Michael Wilson said that as the recent truce with some countries on trade has reduced the likelihood of a recession, investors should buy into the decline in U.S. stocks triggered by the U.S. credit rating downgrade last Friday. The strategist believes that after Moody's downgraded the U.S. rating and pushed the 10-year Treasury yield above the key level of 4.5%, the stock market is more likely to fall back. However, Wilson wrote in a report: "We will be buyers of this decline." Wilson said that an encouraging sign is that the corporate earnings season seems to have ended and the uncertainty of tariffs has not had a significant impact. He said that even if trade data in the coming months is slightly weaker, the recent increase in corporate earnings also indicates that the stock market will rise further. (Jinshi)