Economics
Wall Street Banks Warn Downturn Is Coming
- HSBC, Citigroup, Morgan Stanley say end of market boom is nigh
- Breakdown in trading patterns is signal to get out soon
Gallo Says Investors Are Looking for Next Piece of Sugar
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HSBC Holdings Plc, Citigroup Inc. and Morgan Stanley see mounting evidence that global markets are in the last stage of their rallies before a downturn in the business cycle.
Analysts at the Wall Street behemoths cite signals including the breakdown of long-standing relationships between stocks, bonds and commodities as well as investors ignoring valuation fundamentals and data. It all means stock and credit markets are at risk of a painful drop.