A growing number of Wall Street firms and strategists are turning bearish on the financial markets amid the sharp selloff in stocks. For the stock market bears who anticipated a correction, they are claiming victory after the leading benchmark indexes have plummeted over the last week. Writing in a research note Monday, analysts at Morgan Stanley, including Michael Wilson, warned that “winter is here.” With the Federal Reserve tightening monetary policy and economic data becoming worrisome, Wilson stated that the stock market rout “fits nicely” into his calls. Have stocks reached a bottom, or is there still more shedding to go? “We have been monitoring PMIs and earnings revisions breadth for signs the slowdown is bottoming, but it has quite a bit further to go, in our view, and equity markets are not yet priced for it,” the Morgan Stanley strategists stated. “It’s too early to get bullish.” IHS Markit …
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