Banks and funds lower red flags on supercharged stocks

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Banks and funds lower red flags on supercharged stocks GlobeInvestor

This translation has been automatically generated and has not been verified for accuracy.A raft of major banks and fund managers have upgraded their view on global equities, with emerging-market stocks their top pick to benefit from signs of easing in the Sino-U.S. trade dispute.

Emerging-market equities were the most favoured pick, alongside U.S. large-cap equities, Schowitz said. Morgan Stanley also joined in, upgrading emerging-market equities to equal weight from underweight on a better global growth outlook outside the U.S., singling out South Korea which it upped to overweight.Morgan Stanley saw the biggest potential in markets with a clearer path to earnings growth, such as developing-market stocks and Japan, or a scope for multiple re-rating on falling political risks, such as Europe.

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