NEW YORK (TheStreet) -- The final day of trading in July closed with major stock indexes mixed after a month-long rally across many sectors made up for a defensive environment in the first half of 2016.
"Reduce in Europe and Japan and add to small and mid-cap U.S. equities. And add to emerging markets which have been doing well," Darst said on CNBC's "Closing Bell."
Darst remains wary of the Department of Commerce's revision of U.S. GDP numbers to 0.8% for the first quarter and 1.2% for the second quarter.
"I was concerned by the last five quarters that have been revised downward and these benchmark revisions," Darst noted.
Additionally, Darst noted that both the Federal Reserve and the Bank of Japan remain on hold, despite markets looking for more information out of Japan.
"[Japan] promised more but they keep promising like a child being held candy in front of them and pulling back," Darst added.
Shares of Morgan Stanley closed down 0.45% to $28.73 in trading today.
Separately, TheStreet Ratings team rates Morgan Stanley as a "buy" with a ratings score of B.
This is driven by a number of strengths, which TheStreet Ratings team believes should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its attractive valuation levels and notable return on equity. TheStreet Ratings feels its strengths outweigh the fact that the company has had sub par growth in net income.
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: MS