 |
 |

Stephen S. Roach, Chairman, Morgan Stanley Asia
A bubble-prone US economy has become a breeding ground for a gathering storm of systemic risks in America and in an increasingly interdependent world economy, argues Stephen Roach, Chairman, Morgan Stanley Asia.
|
 |
 |
 |
 |
| |
August 12, 2008 |
 |
 |
 |
Pitfalls in a Post-Bubble World
|  |
| Stephen S. Roach, Chairman, Morgan Stanley Asia |
 |
 |
 |
A bubble-prone US economy has become a breeding ground for a gathering storm of systemic risks in America and in an increasingly interdependent world economy, argues Stephen Roach, Chairman, Morgan Stanley Asia.  |
 |
|
|
 |
 |
 |
|
 |
 |
 |
 |
 |
| |
|
 |
 |
 |
US Equity Strategy: The Final Cut - Downgrading EPS Estimates & Target
|  |
 |
 |
 |
We reduced our 2008 S&P 500 operating EPS estimate to $78 (from $86) and year-end S&P 500 index target to 1300 (from 1400). We also introduced our 2009 S&P 500 operating EPS estimate of $84. Our outlook for earnings improvement in 2009 is based almost entirely on some improvement by Financials from virtually zero earnings in 2008 — plus moderate growth in Healthcare and Staples earnings, compensating for a sizeable deterioration in global cyclical sectors.  |
 |
 |
 |
 |
|
|
|