JPMorgan Chase: The Fed is expected to ease policy in a passive manner

Morgan Stanley strategist stated that the stock market may continue to be under pressure due to slowing economic activity, declining bond yields, and lowered profit expectations. "We remain cautious about the stock market and expect a phase where bad news is just bad news," wrote Mislav Matejka in the report. "In this context, risk trading should not be carried out." Strategists point out that the Federal Reserve will begin to ease policies, but more will be done in a passive way in response to weak growth, "which may not be enough to push for a rebound."