Wall Street contrasted, the US stock exchange confirms the nervousness of operators, who fear the arrival of a correction. The Dow Jones posted a change of just + 0.08% to 35.127 points, while the S&P 500 marks a -0.03% at 4.518; the Nasdaq loses 0.34% to about 15,321.
UBS analysts are actually still optimistic about US equities:
“The summer rally that took the S&P 500 to new highs, in the face of potential obstacles such as a rate hike on the horizon, sparked a debate among investors over the ability of US equities to post new highs in the rest of the year. and towards the next year – the note reads – It is likely that at some point the equities will turn around, probably due to a new increase in real yields, but other positive factors should lead the S&P 500 to rise to a new record by the end of the year “.
It is not for nothing that UBS has revised upwards the year-end target of 2021 and 2022 of the US benchmark index to 4,650 points and 4,850 respectively.
Yesterday, however, Morgan Stanley cut the rating on US equities to “underweight”.
“We see a nervous period for the months of September and October, in correspondence with the final stages of the mid-cycle transition – wrote the strategists of the Andrew Sheets team – We continue to believe that this is a ‘normal’ cycle, simply more faster and stronger, and our cycle pattern remains expanding. But the next two months will present very strong risks to growth, politics, and the regulatory agenda. “
Credit Suisse also expressed its opinion on the US stock exchange.
In the Global Equity Strategy report, released today, analysts from the investment bank reiterated the small underweight rating for Wall Street.
The analysis highlighted that “the United States tends to be the worst performing area, corresponding to an increase in the cost of high-yield debt (given that it is an economy that has relied on to leverage much more than any other reason) “.
Credit Suisse has specified that it is “small overweight only on technology (the US hi-tech outperforms 70% of the times when techs do better)”, noting how “the fiscal and regulatory risks (of the United States) appear more high compared to those of Europe or Japan “.
Expected today for the Beige Book drawn up by the Federal Reserve, the report on US economic conditions that the Fed publishes eight times a year, which will give more information on the health of the US economy.