1 of the Most Bearish Analysts on Wall Street Says the Stock Market Is Vulnerable Heading Into Earnings Season
Morgan Stanley's top strategist and chief investment officer Mike Wilson made a name for himself in late 2021 when, with the market riding high and seemingly no end in sight, he predicted a meltdown in 2022. That prediction came true when the benchmark S&P 500 fell roughly 20% last year.
Wilson was fairly pessimistic heading into this year as well, although so far the market is having an excellent year. But Wilson is still bearish and thinks stocks are vulnerable, especially as we head into the second-quarter earnings season. Here's why.
Second-quarter earnings will kick off Friday with the big banks, and consensus estimates are by and large forecasting a sharp earnings reduction across the board in the second quarter. On the whole, analysts expect earnings to fall 9% year over year in Q2.
Source Fool.com
