Morgan Stanley Wealth Management CIO: U.S. stocks to rise further in H2

The U.S. stock market will continue its upward trend in the second half of 2024, albeit at a faster pace, said Lisa Shallett, CIO of Morgan Stanley Wealth Management. “Between now and the end of the year, the resistance is the market moving higher.” Nevertheless, investors should have “modest expectations” for stock prices between now and December, Shallett added, adding that the SP 500 has risen 12 percent so far this year. Despite her optimism, Sharlet said the expansion in corporate profits this year has already been reflected in stock prices, and investors will need to start “borrowing” from expectations for 2025 as 2024 continues to unfold. On the bright side, she expects gains to expand into sectors where the market has been stagnant, despite the mega-cap tech giants that have driven much of the rally since last year.