Morgan Stanley Upgrades India Equities To ‘Overweight’ & Downgrade China To ‘Equal Weight’

In a big thumbs up for India, Morgan Stanley has upgraded its rating on Indian equities to ‘overweight’. At the same time, Chinese equities have been downgraded to ‘equal weight’, citing evidence that China is at the end of a long wave boom which India was just entering. The re-rating could impact flows of foreign investment, tilting the balance towards India in the coming months.