Morgan Stanley says US stock rally is disconnected

Morgan Stanley Wealth Management comments on the dizzy heights for US stocks:

• rise of US stocks is seemingly detached from Federal Reserve monetary policy
• “uninterrupted 28% advance since last Halloween to all-time highs is now disconnected from real rates and Fed policy expectations”
• “better-than-expected economic growth favours cyclical over secular growers who dominate the ‘Magnificent 7’ as nominal GDP growth remains above 5%”

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Think its disconnected now? Wait until no rate cut June and even higher stocks.

This article was written by Eamonn Sheridan at www.forexlive.com.