Morgan Stanley: Significant correction risk for U.S. stocks surges, 10-year U.S. Treasury yield breaks above 4.5%

Odaily Planet Daily News Morgan Stanley's "warning line" for U.S. stocks has been breached. The bank's Chief Investment Officer and renowned Wall Street bull warned that if U.S. Treasury yields continue to rise and volatility climbs, the U.S. stock market will face its "first significant correction since late March." Michael Wilson, Chief Investment Officer at Morgan Stanley, stated: "If long-term yields rise alongside increased bond volatility, we expect the stock market to experience its first notable correction since bottoming in late March." Morgan Stanley has marked a 10-year U.S. Treasury yield of 4.5% as a "critical threshold where yields could pose a more obvious resistance to stock valuations." (Jinshi)