Morgan Stanley Slides to 121st in Volume Amid De-Globalization Fears and Valuation Imbalances

On August 1, 2025, Morgan Stanley (MS) closed at $138.77, reflecting a 2.37% decline from the previous session. The stock traded within an intraday range of $136.18 to $139.38, with a total turnover of $920 million, ranking it 121st in volume among listed equities. The sell-off aligns with broader concerns over de-globalization risks and structural imbalances in U.S. equity valuations, as highlighted in the firm’s own research. Analysts noted that the U.S. accounts for 25% of global GDP but dominates a disproportionate share of equity valuations, raising questions about sustainability amid shifting supply chains and protectionist policies.

The investment banking sector experienced synchronized weakness, with Morgan Stanley’s decline outpacing broader market pressures. Corporate earnings and liquidity dynamics failed to offset long-term uncertainties, particularly around divergent monetary policy impacts. Technical indicators showed the stock nearing its 20-day moving average of $140.76, while the 52-week low of $90.94 remains a critical psychological threshold. Options activity surged, with high-liquidity puts at $138–$137 strikes attracting aggressive short-side exposure. Traders emphasized monitoring the $136.18 intraday low as a potential catalyst for a new bearish phase.

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