Morgan Stanley warns of potential banking fallout and stock market risks.

Morgan Stanley's chief U.S. equity strategist, Mike Wilson, warns of a potential decline in earnings estimates and a long shadow cast by March stress, despite a mostly upbeat stock market. Wilson credits "defensive/high-quality characteristics and lower back-end rates" for holding up bigger indexes, but warns against breathing easy here. He uses a quote from one of Ernest Hemingway’s novels to get his point across. In “The Sun Also Rises,” a character, asked how he went bankrupt, responds: “Two ways…Gradually, then suddenly.”