Both JPMorgan and Morgan Stanley announced that the correction of the S&P 500 index is nearing completion.


Michael Wilson, a strategist at Morgan Stanley, indicated that the recent correction of the S&P 500 is approaching its end. The index has rebounded by nearly 7% from its lows and has maintained a key support level.

Accelerating profits help protect the S&P 500 from larger losses and conceal a broader decline in US stocks due to the US-Iran war. The investment team advises investors to buy stocks when prices decline.

JPMorgan Chase also recommends investors buy stocks during recent market dips. The giant bank believes that current conditions support another rapid V-shaped recovery despite geopolitical risks.

Strategic analyst Mislav Matika pointed out that volatility will continue. However, investing in high-risk assets amid downward trends and oversold signals creates an investment opportunity lasting between 3 and 12 months.

The bank also expects outperformance of international stocks, emerging markets, small-cap companies, and value stocks, with a potential resumption of investment flows. Meanwhile, US consumer price index data showed inflation rising amid higher oil prices, but markets have already begun to absorb this impact.

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