Morgan Stanley Expects No New S&P Lows

Morgan Stanley strategist Michael Wilson sees the S&P 500 stabilizing above 6300‑6500, not expecting meaningful new lows.
He recommends a barbell portfolio, favoring cyclicals (Financials, Consumer Discretionary, short‑cycle Industrials) and high‑growth hyperscalers.
Risks highlighted are 10‑year Treasury yields above 4.50% and bond‑volatility Move Index above 130‑140, which could pressure equity multiples.
Recent data shows March ISM Manufacturing PMI at 52.7 and an 8% rise in U.S. hotel RevPAR, supporting a rolling recovery view.