Morgan Stanley’s Mike Wilson is doubling down on his buy-the-dip advice for stock investors

Recent equity weakness and tightness in liquidity make a Fed cut in December more likely, says Wilson, this weakness actually reinforces his positive call on stocks with a 12-month view, giving him the chance to buy the dip and double-down on his “rolling recovery thesis.”

Wilson observes that while the pain wrought on the S&P 500 so far has been negligible — the index is down just 5% or so from the all-time highs — the damage inflicted “under the hood” has been far more severe with two thirds of the 1,000 largest stocks by market capitalization conceding more than 10%.

Counterintuitively, Wilson reckons this weakness in risk assets and liquidity tightness, when combined with generally anemic labor markets, probably enhances the probability of the Fed deciding it must get ahead of the curve with rate cuts.  

MarketWatch Nov. 24, 2025

https://www.marketwatch.com/story/why-morgan-stanleys-mike-wilson-is-doubling-down-on-his-buy-the-dip-advice-for-stock-investors-22f692c6


RE: Good news is good news and bad news is good news.

https://englundmacro.blogspot.com/2025/11/godmorgon-24-november-2025.html




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