Morgan Stanley Sees MSCI EM at 1050 by End of 2019

The video discusses global economic trends, highlighting growth stabilization in China and India, and a weakening dollar. It analyzes market performance, predicting a shift in fund allocation towards emerging markets like Brazil and India. The video also examines the DRAM market, noting Korea's neutral position and the potential for non-tech value stocks to lead in the rally.

What are the key factors contributing to the upgrade in economic outlook?

• Growth differentials in key geographies and a weakening dollar

• Decline in global trade and rising inflation

• Increased oil prices and US economic slowdown

• Strengthening of the US dollar and European growth

Why are US equities expected to be range-bound?

• Because of high valuations and widening credit spreads

• As a result of declining global demand and low inflation

• Due to low valuations and strong economic growth

• Owing to increasing interest rates and stable credit spreads

What is the current stance on the Korean market in relation to DRAM?

• It is overweight due to strong tech sector performance

• It is overweight due to high DRAM prices

• It is neutral as DRAM prices are expected to trough next year

• It is underweight because DRAM prices have peaked

Which markets are expected to lead the rally according to the analysis?

• Australia and Canada

• Brazil, China, India, and Indonesia

• Japan and South Korea

• US and European markets

What is a significant overhang for the China Internet sector?

• Declining user base

• Lack of technological innovation

• High competition from US firms

• Regulatory challenges