Morgan Stanley's Mike Wilson: Government Spending Saves U.S. Stocks

Morgan Stanley's chief investment strategist, Mike Wilson, acknowledges that the U.S. stock market's performance in 2023 has been better than anticipated due to "excessive" government spending and strong fiscal policy. Wilson admits to underestimating the impact of fiscal stimulus on the economy and markets. However, he raises concerns about the long-term consequences of such spending, including limited flexibility during future recessions and potential problems for corporate earnings and stocks. Despite the recent market volatility, U.S. stocks were trading higher on Monday.