Morgan Stanley Quotations

We remain concerned about the sustainability of performance.

With this overlap in mind, (takeover) interest from third parties may well be limited.

We have significantly increased our short-term and long-term commodity price forecasts to reflect our expectation of sustained tight markets and ongoing deficits in 2006.

Net interest margin and Net interest income were stronger than expected, as BAC kept a tight lid on deposit pricing, shrank the securities portfolio and delivered strong loan growth. This should help reduce investor concerns on the bank's ability to manage through the flat yield curve.

Recent environmental disasters suggest that China needs to find a better balance between growth and environmental protection. The obsession with GDP has led to a neglect of growth quality issues.

We now think that (U.S.) crude oil could reach $61 before a meaningful sell-off occurs. Long-term price patterns point to even higher prices.

We continue to struggle to find attractive valuations in the sector, and, in contrast to last October, we feel short term drivers are turning negative rather than positive.

While 2006 earnings targets appear achievable, we are concerned with the projected sustainability of volume and margins at the core Auto division. Fiat is not alone in lowering costs within its industrial base. Rival volume makers such as VW, Renault, Peugeot-Citroen, GM and Ford will also make significant restructuring improvements. In addition, Japanese and Korean market share gains are set to accelerate, putting manufacturers like Fiat on the hot seat.

We must work out if one year of increased spending is enough to boost growth and brand positioning, or will 2007 guidance come under further pressure.

The peak...is the key determinant of the timing of the prospective turn in the dollar.

We have limited information on the disaster. Our immediate focus and concern are for the well-being and safety of Morgan Stanley employees.

We recognize that this goes against powerful recent flows into emerging markets and Japan. However, in our view, flows are approaching the point of pushing Japan and emerging markets beyond fair value, creating the relative value opportunity in the U.S..

We also recommend that investors with a 2- to 3-year investment horizon accumulate shares in the sector through a basket of mid-sized bank stocks because there could be a sharp uplift in value due to consolidation activity.

With a weakening hedging profile, fuel costs will continue rising, and a slowing pace of saving on other costs will likely keep a lid on expectations for profitability.

(This) should lead to strong order intake and rising profit margins for European oil services firms.

Without deferred tax credits, Hutchison needs to book exceptional gains this year to keep profits firmly in the black. We hope that this spurs the company into more corporate activity.

Urals claims to be considering a pipeline of 20-30 deals, and management expects to complete at least one substantial transaction by mid-year. We stress that, in our view, deal-flow expectations are absent from the current share price.

We expect copper to surprise on the upside.

The correction comes after similar corrections in Belgium, the Netherlands and France and overall they point toward a potential slowdown in the Euro area in Q4.

In our opinion, the strategic rationale is sound and price paid is lower than what we would have anticipated.

Hong Kong is at the epicenter of U.S. monetary tightening and is fully valued.

An acquisition looks financially viable and is in line with National Grid's stated U.S. strategy. National Grid has shown that it has a decent U.S. acquisition track record.