(Bloomberg) — One of Wall Street’s most prominent bears has just turned positive on the outlook for US stocks.
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Morgan Stanley’s Michael Wilson now sees the S&P 500 rising 2% by June 2025, a major about turn from his view that the benchmark will tumble 15% by December.
The strategist — whose bearish 2023 outlook failed to materialize as markets kept rallying — finally gave in and boosted his target for the S&P 500 to 5,400 points from 4,500. That catapults his forecast from among the lowest on Wall Street to one that projects a fresh record for the index.
“In the US, we forecast robust EPS growth alongside modest multiple compression,” Wilson wrote in a note on Sunday with his Morgan Stanley colleagues, as they discussed the firm’s second-half views across various assets.
In recent months, Wilson repeatedly stuck by his 4,500 points target for the S&P 500, even as the index notched a series of…
