S&P 500 recovers after early decline

Markets were mixed on Monday.

The STOXX Europe 600 plunged 3.8 percent but the S&P 500 recovered from an early sharp loss to close 0.3 percent higher.

JPMorgan stock strategist Marko Kolanovic said in a note Monday that the “recent pullback in risk assets appears overdone” and suggested that “we could be in the final stages of this correction”.

However, Morgan Stanley’s Mike Wilson said that a tightening Federal Reserve and slowing growth mean that the S&P 500 is vulnerable to a 10 percent plunge despite Monday’s late recovery.

“This type of action is just not comforting,” he said on CNBC.