1111 ET - Just as many were overly optimistic on growth coming into the year, there may be too much pessimism now, especially at the stock level, Morgan Stanley analysts say in a research note. With the S&P 500 closing the week very close to the middle of their range of 5000 to 5500, the analysts note the index appears to be struggling with broad uncertainty. But they note that the good news is that stocks have discounted quite a bit, adding that the many drivers behind the earlier optimism such as deregulation and lower interest rates are still on the table. But the risk of a recession is also greater. The analysts suggest range trading for now. (denny.jacob@wsj.com; @pennedbyden)

(END) Dow Jones Newswires

April 21, 2025 11:11 ET (15:11 GMT)

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