Bearish investor sentiment rises to 42%, Morgan Stanley survey finds
MS•Morgan Stanley's investor survey found bearish sentiment rose four percentage points from Q3 to 42%. Inflation remained the top concern at 54%, while 34% expected another Federal Reserve rate increase at the next meeting.
1. Survey findings
Bearish sentiment rose four percentage points from Q3 to 42%, while inflation remained investors' top concern at 54%, up two points. Another Federal Reserve rate increase at the next meeting was expected by 34% of investors, compared with 27% last quarter. Technology led fourth-quarter 2026 sector preferences at 55%, followed by energy at 47%; 42% ruled out portfolio changes over the next six months, up from 39% in Q3.
