Morgan Stanley says surging bond yields could spark a shift in US allocations towards value stocks from their high-flying growth counterparts.
It favors energy, utilities, and financials over tech and consumer discretionary stocks.
Morgan Stanley also thinks a bear-market correction could arrive in 2019, sooner than markets expect.
The Morgan Stanley equities team now thinks a "tipping point" has been reached in the investment cycle for US stocks.
And as a result, it says the relative advantage...