Their previous call was for a rate cut in September and then one more in December. But after the slew of data in the past week, Morgan Stanley is now expecting the Fed to cut in September, October, and December. And looking out to next year, they also see 25 bps rate cuts in each of the meetings in January, April, and July.
It wasn't too long ago that they just hopped on the bandwagon in expecting a rate cut for September and December here. It goes to show how these "calls" and "forecasts" can change up so easily, which matches up with how we should be as traders too. So, don't get too fixated when trying to build convictions based on analyst notes. Reading the market/tea leaves for yourself is always the best tool at your disposal.
