Demeter Management Corporation
330 Madison Avenue, 8th Floor
New York, NY 10017

Morgan Stanley

ADDRESS SERVICE REQUESTED

[LOGO] printed on recycled paper
DWS 38221-09

MORGAN STANLEY
SPECTRUM SERIES

January 2007
Monthly Report

This Monthly Report supplements the Spectrum Funds' Prospectus dated May 1, 2006
and the Prospectus Supplement dated January 18, 2007.

Issued: February 28, 2007

Morgan Stanley

MORGAN STANLEY SPECTRUM SERIES
- --------------------------------------------------------------------------------
HISTORICAL FUND PERFORMANCE
- --------------------------------------------------------------------------------

Presented below is the percentage change in Net Asset Value per Unit from the
start of every calendar year each Fund has traded. Also provided is the
inception-to-date return and the compound annualized return since inception for
each Fund. PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS.

1991 1992 1993 1994 1995 1996 1997 1998 1999 2000
FUND % % % % % % % % % %
- ----------------------------------------------------------------------------------------

Spectrum
Currency -- -- -- -- -- -- -- -- -- 11.7
(6 mos.)
- ----------------------------------------------------------------------------------------
Spectrum
Global
Balanced -- -- -- (1.7) 22.8 (3.6) 18.2 16.4 0.8 0.9
(2 mos.)
- ----------------------------------------------------------------------------------------
Spectrum
Select 31.2 (14.4) 41.6 (5.1) 23.6 5.3 6.2 14.2 (7.6) 7.1
(5 mos.)
- ----------------------------------------------------------------------------------------
Spectrum
Strategic -- -- -- 0.1 10.5 (3.5) 0.4 7.8 37.2 (33.1)
(2 mos.)
- ----------------------------------------------------------------------------------------
Spectrum
Technical -- -- -- (2.2) 17.6 18.3 7.5 10.2 (7.5) 7.8
(2 mos.)
- ----------------------------------------------------------------------------------------

INCEPTION- COMPOUND
TO-DATE ANNUALIZED
2001 2002 2003 2004 2005 2006 2007 RETURN RETURN
FUND % % % % % % % % %
- --------------------------------------------------------------------------------
Spectrum
Currency 11.1 12.2 12.4 (8.0) (18.3) (3.4) (1.1) 12.5 1.8
(1 mo.)
- --------------------------------------------------------------------------------
Spectrum
Global
Balanced (0.3) (10.1) 6.2 (5.6) 4.2 2.4 (0.6) 55.0 3.6
(1 mo.)
- --------------------------------------------------------------------------------
Spectrum
Select 1.7 15.4 9.6 (4.7) (5.0) 5.9 1.8 195.7 7.2
(1 mo.)
- --------------------------------------------------------------------------------
Spectrum
Strategic (0.6) 9.4 24.0 1.7 (2.6) 20.9 (0.1) 71.4 4.5
(1 mo.)
- --------------------------------------------------------------------------------
Spectrum
Technical (7.2) 23.3 23.0 4.4 (5.4) 5.4 3.5 144.0 7.6
(1 mo.)
- --------------------------------------------------------------------------------

- --------------------------------------------------------------------------------
DEMETER MANAGEMENT CORPORATION
- --------------------------------------------------------------------------------
330 Madison Avenue, 8th Floor
New York, NY 10017
Telephone (212) 905-2700

MORGAN STANLEY SPECTRUM SERIES
MONTHLY REPORT
JANUARY 2007

Dear Limited Partner:

The Net Asset Value per Unit for each of the five Morgan Stanley Spectrum
Funds as of January 31, 2007 was as follows:

- --------------------------------------------------------------------------------
FUND N.A.V. % CHANGE FOR MONTH
- --------------------------------------------------------------------------------
Spectrum Currency $11.25 (1.10)%
- --------------------------------------------------------------------------------
Spectrum Global Balanced $15.50 (0.66)%
- --------------------------------------------------------------------------------
Spectrum Select $29.57 1.74%
- --------------------------------------------------------------------------------
Spectrum Strategic $17.14 (0.02)%
- --------------------------------------------------------------------------------
Spectrum Technical $24.40 3.55%
- --------------------------------------------------------------------------------

Detailed performance information for each Fund is located in the body of the
financial report. For each Fund, we provide a trading results by sector chart
that portrays trading gains and trading losses for the previous month and
year-to-date in each sector in which the Fund participates. In the case of
Spectrum Currency, we provide the trading gains and trading losses for the five
major currencies in which the Fund participates, and composite information for
all other "minor" currencies traded within the Fund.

The trading results by sector charts indicate the monthly and year-to-date
composite percentage returns generated by the specific assets dedicated to
trading within each market sector in which each Fund participates. Please note
that there is not an equal amount of assets in each market sector, and the
specific allocations of assets by a Fund to each sector will vary over time
within a predetermined range. Below each chart is a description of the factors
that influenced trading gains and trading losses within each Fund during the
previous month.

I WOULD ALSO LIKE TO TAKE THIS OPPORTUNITY TO INFORM YOU THAT WE ANTICIPATE
SCHEDULE K-1 (FORM 1065) TAX FORMS REPORTING EACH LIMITED PARTNER'S SHARE OF THE
PARTNERSHIP INCOME, LOSS, AND DEDUCTIONS FOR CALENDAR YEAR 2006 WILL BE MAILED
TO HOLDERS OF NON-IRA ACCOUNTS DURING THE LAST WEEK OF FEBRUARY. SHOULD YOU HAVE
AN IRA ACCOUNT AND WISH TO RECEIVE A SCHEDULE K-1 TAX FORM, PLEASE CONTACT YOUR
MORGAN STANLEY FINANCIAL ADVISOR.

Should you have any questions concerning this report, please feel free to
contact Demeter Management Corporation, 330 Madison Avenue, 8th Floor, New York,
NY 10017, or your Morgan Stanley Financial Advisor.

I hereby affirm, that to the best of my knowledge and belief, the information
contained in this report is accurate and complete. Past performance is no
guarantee of future results.

Sincerely,

/s/ Walter J. Davis

Walter J. Davis
Chairman of the Board of Directors and President
Demeter Management Corporation,
General Partner of
Morgan Stanley Spectrum Currency L.P.
Morgan Stanley Spectrum Global Balanced L.P.
Morgan Stanley Spectrum Select L.P.
Morgan Stanley Spectrum Strategic L.P.
Morgan Stanley Spectrum Technical L.P.

- --------------------------------------------------------------------------------
MORGAN STANLEY SPECTRUM CURRENCY L.P.
- --------------------------------------------------------------------------------

[The following table represents a bar graph in the printed piece.]

MONTH ENDED YTD ENDED
JANUARY 31, 2007 JANUARY 31, 2007

Australian dollar -1.16 -1.16
British pound 0.92 0.92
Euro -0.66 -0.66
Japanese yen 3.22 3.22
Swiss franc 0.43 0.43
Minor Currencies -3.48 -3.48

Note: Reflects trading results only and does not include fees or interest
income.

Minor currencies may include, but are not limited to, the South African
rand, Thai baht, Singapore dollar, Mexican peso, New Zealand dollar,
Polish zloty, Brazilian real, Norwegian krone, and Czech koruna.

During the month, the Fund incurred losses from long positions in the Australian
dollar, New Zealand dollar, and euro versus the U.S. dollar, as well as short
positions in the Norwegian krone versus the U.S. dollar. Additional losses were
incurred from both short and long positions in the South African rand versus the
U.S. dollar. These losses were partially offset by gains from short positions in
the Japanese yen and Swiss franc versus the U.S. dollar, as well as long
positions in the British pound versus the U.S. dollar.

Losses were experienced from long positions in the Australian dollar, New
Zealand dollar, and euro versus the U.S. dollar as the value of the U.S. dollar
moved higher against these currencies after stronger-than-expected retail sales
data, consumer confidence, and jobs growth suggested that the U.S. Federal
Reserve may not cut interest rates in the near-term. Towards the end of the
month, the value of the U.S. dollar continued to move higher against most of its
major rivals after a report showed the U.S. index of leading economic indicators
rose in December and news that the U.S. trade gap contracted for a third
consecutive month in November, reaching its narrowest point since July 2005.
Meanwhile, short positions in the Norwegian krone versus the U.S. dollar
resulted in losses as the value of the Norwegian krone strengthened relative to
the U.S. dollar after strong economic data was reported out of Norway. Elsewhere
in the currency markets, losses were incurred from both short and long positions
in the South African rand versus the U.S. dollar as the value of the South
African rand moved without consistent direction throughout a majority of the
month.

Gains were experienced from short positions in the Japanese yen and Swiss franc
versus the U.S. dollar as the value of the U.S. dollar strengthened against
these currencies due to the aforementioned strong U.S. economic data.
Additionally, the Japanese yen fell against its major rivals on investor
speculation that the Bank of Japan will not raise interest rates in the
near-term. Further gains were recorded during the middle of the month from long
positions in the British pound versus the U.S. dollar as the value of the
British pound moved higher on news of better-than-expected unemployment data and
a surprise interest rate hike by the Bank of England.

- --------------------------------------------------------------------------------
MORGAN STANLEY SPECTRUM GLOBAL BALANCED L.P.
- --------------------------------------------------------------------------------

[The following table represents a bar graph in the printed piece.]

MONTH ENDED YTD ENDED
JANUARY 31, 2007 JANUARY 31, 2007

Currencies -0.63 -0.63
Interest Rates 0.83 0.83
Stock Indices -0.1 -0.1
Energies 0 0
Metals -0.14 -0.14
Agriculturals -0.63 -0.63

Note: Reflects trading results only and does not include fees or interest
income.

During the month, the Fund incurred losses in the currency, agricultural,
metals, and global stock index sectors. These losses were partially offset by
gains recorded in the global interest rate sector.

Within the currency sector, long positions in the euro versus the Norwegian
krone resulted in losses as the value of the Norwegian krone strengthened
relative to most of its major rivals after strong economic data was reported out
of Norway. Additional losses were recorded from long positions in the Mexican
peso versus the U.S. dollar, as well as outright short positions in the U.S.
Dollar Index as the value of the U.S. dollar moved higher after
stronger-than-expected retail sales data, consumer confidence, and jobs growth
suggested that the U.S. Federal Reserve may not cut interest rates during the
first quarter of 2007. Elsewhere, losses were incurred from both short and long
positions in the South African rand versus the U.S. dollar as the value of the
South African rand moved without consistent direction throughout a majority of
the month.

Within the agricultural markets, long positions in corn, soybeans, and soybean
oil futures recorded losses as prices declined early in the month due to
speculative selling. Elsewhere in the agricultural complex, short positions in
lean hog futures experienced additional losses as prices increased on worries
that freezing temperatures may negatively impact supply.

Within the metals markets, losses were incurred from short positions in nickel
futures as prices rose on speculation that dwindling stockpiles and supply
disruptions may create a shortage of the metal.

Smaller losses were recorded within the global stock index sector from long
positions in U.S. and European equity index futures as prices moved lower due to
the aforementioned economic data that affected the currency markets.
Additionally, U.S. stocks declined after energy and pharmaceutical companies
reported disappointing quarterly results, while British equity index futures
experienced a sharp sell-off after the Bank of England unexpectedly raised
interest rates and left the door open for additional rate increases in 2007.

Within the global interest rate sector, gains were experienced from short
positions in British, U.S., and German fixed-income futures as prices continued
to weaken during January. Within U.S. markets, prices moved lower throughout the
month on speculation that the U.S. Federal Reserve may not cut interest rates
during the first quarter of 2007. Elsewhere in the global interest rate sector,
European fixed-income futures prices initially fell after reports showed
confidence in the Euro-Zone economy stayed close to a six-year high in December
and unemployment dropped in the United Kingdom and Germany. In addition, British
interest rate futures dropped sharply after the Bank of England unexpectedly
lifted interest rates from 5.0% to 5.25%, while German interest rate futures
prices continued to decline after the European Central Bank announced that
inflation risks are a concern, signaling that policy makers may raise interest
rates in the near-future.

- --------------------------------------------------------------------------------
MORGAN STANLEY SPECTRUM SELECT L.P.
- --------------------------------------------------------------------------------

[The following table represents a bar graph in the printed piece.]

MONTH ENDED YTD ENDED
JANUARY 31, 2007 JANUARY 31, 2007

Currencies -0.07 -0.07
Interest Rates 1.25 1.25
Stock Indices 0.54 0.54
Energies 0.91 0.91
Metals -0.11 -0.11
Agriculturals -0.36 -0.36

Note: Reflects trading results only and does not include fees or interest
income.

During the month, the Fund experienced gains in the global interest rate,
energy, and global stock index sectors. A portion of these gains was offset by
losses recorded in the agricultural, metals, and currency sectors.

Within the global interest rate sector, gains were experienced from short
positions in British and German fixed-income futures as prices continued to
weaken during January. British and German fixed-income futures prices initially
fell after reports showed confidence in the Euro-Zone economy stayed close to a
six-year high in December and unemployment dropped in the United Kingdom and
Germany. In addition, British interest rate futures dropped sharply after the
Bank of England unexpectedly lifted interest rates from 5.0% to 5.25%, while
German interest rate futures prices continued to decline after the European
Central Bank announced that inflation risks are a concern, signaling that policy
makers may raise interest rates in the near-future.

Within the energy markets, short futures positions in crude oil and its related
products resulted in gains as prices declined on skepticism that OPEC may cut
production as much as originally pledged. Prices continued to fall after U.S.
government data showed a larger-than-expected increase in domestic inventories
of gasoline and heating oil and on a report which showed a decrease in U.S. fuel
consumption.

Smaller gains were experienced within the global stock index sector from long
positions in German, U.S., and Japanese equity index futures as prices climbed
higher throughout a majority of the month on continued optimism about the future
of the global economy. In addition, German stock prices were boosted after news
that German business confidence rose to a record high in January, while Japanese
equity index futures prices increased sharply after U.S. consumer confidence
rose to the highest since 2004, adding to speculation that sales in the Japanese
export market could grow.

Within the agricultural markets, long positions in corn, soybean oil, soybean
meal, and soybean futures recorded losses as prices dropped early in the month
after the U.S. announced plans to seek additional sources for alternative fuels.
Elsewhere in the agricultural complex, losses were incurred from long positions
in coffee futures as prices fell sharply on speculation that retail price
increases imposed by large food companies during the last quarter of 2006 may
curb demand in the United States. Prices continued to decline on speculation
that favorable weather in Brazil may boost supplies.

Within the metals markets, long positions in aluminum futures resulted in losses
as prices fell at the beginning of the month amid rising global inventories.

Finally, losses were incurred from long positions in the New Zealand dollar and
Australian dollar versus the U.S. dollar as the value of the U.S. dollar moved
higher after stronger-than-expected retail sales data, consumer confidence, and
jobs growth suggested that the U.S. Federal Reserve may not cut interest rates
in the near-term. Towards the end of the month, the value of the U.S. dollar
continued to move higher against most of its major rivals after a report showed
the U.S. index of leading economic indicators rose in December and news that the
U.S. trade gap contracted for a third consecutive month in November, reaching
its narrowest point since July 2005.

- --------------------------------------------------------------------------------
MORGAN STANLEY SPECTRUM STRATEGIC L.P.
- --------------------------------------------------------------------------------

[The following table represents a bar graph in the printed piece.]

MONTH ENDED YTD ENDED
JANUARY 31, 2007 JANUARY 31, 2007

Currencies 0.12 0.12
Interest Rates 0.32 0.32
Stock Indices 0.46 0.46
Energies 0.38 0.38
Metals -1.56 -1.56
Agriculturals 0.63 0.63

Note: Reflects trading results only and does not include fees or interest
income.

During the month, the Fund experienced losses in metals sector. A portion of
these losses was offset by gains recorded in the agricultural, global stock
index, energy, global interest rate, and currency sectors.

Within the metals markets, long positions in zinc, copper, and aluminum futures
resulted in losses as prices moved lower. Prices of aluminum and zinc futures
fell at the beginning of the month due to rising global inventories, while
copper futures were pressured lower by an overabundance of supply.

Within the agricultural markets, gains were experienced during the middle of the
month from long positions in corn, soybeans, and soybean meal futures as prices
rose on mounting concern that global supplies may plunge because of rising
demand for ethanol and a smaller harvest in the U.S., the world's largest corn
grower.

Within the global stock index sector, long positions in German, U.S., and
Pacific Rim equity index futures experienced gains as prices climbed higher
throughout a majority of the month on continued optimism about the future of the
global economy. In addition, German stock prices were boosted after news that
German business confidence rose to a record high in January. Meanwhile, U.S.,
Japanese, and Hong Kong equity index futures prices increased sharply after U.S.
consumer confidence rose to its highest level since 2004.

Within the energy markets, short futures positions in crude oil and heating oil
resulted in gains as prices declined on skepticism that OPEC may cut production
as much as originally pledged. Prices continued to fall after U.S. government
data showed a larger-than-expected increase in domestic inventories of gasoline
and heating oil and on a report which showed a decrease in U.S. fuel
consumption.

Within the global interest rate sector, gains were experienced from short
positions in British and U.S. fixed-income futures as prices continued to weaken
during January. British fixed-income futures prices initially fell after reports
showed confidence in the Euro-Zone economy stayed close to a six-year high in
December and unemployment dropped in the United Kingdom. In addition, British
interest rate futures dropped sharply after the Bank of England unexpectedly
lifted interest rates from 5.0% to 5.25%. Meanwhile, U.S. interest rate futures
moved lower throughout the month on speculation that the U.S. Federal Reserve
may not cut interest rates during the first quarter of 2007.

Within the currency sector, short positions in the Swiss franc, Japanese yen,
and Canadian dollar versus the U.S. dollar experienced gains as the value of the
U.S. dollar strengthened against these currencies after a report showed the U.S.
index of leading economic indicators rose in December and news that the U.S.
trade gap contracted for a third consecutive month in November, reaching its
narrowest point since July 2005. Additionally, the Japanese yen fell against its
major rivals amid speculation that the Bank of Japan may keep interest rates
steady in the near-term.

- --------------------------------------------------------------------------------
MORGAN STANLEY SPECTRUM TECHNICAL L.P.
- --------------------------------------------------------------------------------

[The following table represents a bar graph in the printed piece.]

MONTH ENDED YTD ENDED
JANUARY 31, 2007 JANUARY 31, 2007

Currencies -0.12 -0.12
Interest Rates 2.77 2.77
Stock Indices 0.94 0.94
Energies 0.32 0.32
Metals 0.25 0.25
Agriculturals -0.21 -0.21

Note: Reflects trading results only and does not include fees or interest
income.

During the month, the Fund experienced gains across the global interest rate,
global stock index, energy, and metals sectors. These gains were partially
offset by losses recorded in the agricultural and currency sectors.

Within the global interest rate sector, gains were experienced from short
positions in British, German, and U.S. fixed-income futures as prices continued
to weaken during January. British and German fixed-income futures prices
initially fell after reports showed confidence in the Euro-Zone economy stayed
close to a six-year high in December and unemployment dropped in the United
Kingdom and Germany. In addition, British interest rate futures dropped sharply
after the Bank of England unexpectedly lifted interest rates from 5.0% to 5.25%,
while German interest rate futures continued to decline after the European
Central Bank announced that inflation risks are a concern, signaling that policy
makers may raise interest rates in the near-future. Finally, U.S. fixed-income
prices moved lower throughout the month on speculation that the U.S. Federal
Reserve may not cut interest rates during the first quarter of 2007.

Within the global stock index market, long positions in European, U.S., and
Pacific Rim equity index futures resulted in gains as prices climbed higher on
continued optimism about the future of the global economy. In addition, European
stock prices were boosted after news that German business confidence rose to a
record in January, while Australian equity index prices moved higher due to
consistently strong earnings from commodity-related stocks. Finally, Japanese
equity index futures prices increased sharply after U.S. consumer confidence
rose to the highest since 2004, adding to speculation that sales in the Japanese
export market could grow.

Within the energy markets, short futures positions in crude oil and its related
products experienced gains as prices declined on skepticism that OPEC may cut
production as much as originally pledged. Prices continued to fall after U.S.
government data showed a larger-than-expected increase in domestic inventories
of gasoline and heating oil and on a report which showed a decrease in U.S. fuel
consumption.

Smaller gains were experienced within the metals markets from long positions in
nickel futures as prices rose on speculation that dwindling stockpiles and
supply disruptions may create a shortage of the metal. Within the agricultural
markets, short positions in lean hog futures resulted in losses as prices
increased on worries that freezing temperatures across much of the U.S. may
negatively impact supply. Elsewhere in the agricultural complex, losses were
incurred from long positions in wheat futures as prices moved lower on weak
demand amid increased global supplies.

Additional losses were incurred within the currency sector from long positions
in the euro, New Zealand dollar, and Australian dollar versus the U.S. dollar as
the value of the U.S. dollar moved higher after stronger-than-expected retail
sales data, consumer confidence, and jobs growth suggested that the U.S. Federal
Reserve may not cut interest rates in the near-term. Towards the end of the
month, the value of the U.S. dollar continued to move higher against most of its
major rivals after a report showed the U.S. index of leading economic indicators
rose in December and news that the U.S. trade gap contracted for a third
consecutive month in November, reaching its narrowest point since July 2005.
Elsewhere in the currency markets, smaller losses were recorded from short
positions in the euro versus the Swedish krona and Australian dollar as the
value of the euro advanced towards the end of the month after economic reports
bolstered expectations the European Central Bank may keep raising interest rates
in order to combat inflation.

MORGAN STANLEY SPECTRUM SERIES
- ------------------------------------------------------------------------------------------------------------------------------------
STATEMENTS OF OPERATIONS
- ------------------------------------------------------------------------------------------------------------------------------------
FOR THE MONTH ENDED JANUARY 31, 2007 (UNAUDITED)

MORGAN STANLEY MORGAN STANLEY
SPECTRUM CURRENCY SPECTRUM GLOBAL BALANCED
------------------------------- ---------------------------------
PERCENTAGE OF PERCENTAGE OF
JANUARY 1, 2007 JANUARY 1, 2007
BEGINNING BEGINNING
AMOUNT NET ASSET VALUE AMOUNT NET ASSET VALUE
------------ ----------------- ------------ -------------------
$ % $ %

INVESTMENT INCOME
Interest income (Note 2) 530,452 .33 168,286 .42
------------ ------- ------------ ------

EXPENSES
Brokerage fees (Note 2) 625,022 .38 154,703 .38
Management fees (Note 3) 271,750 .17 42,037 .10
------------ ------- ------------ ------
Total Expenses 896,772 .55 196,740 .48
------------ ------- ------------ ------
NET INVESTMENT LOSS (366,320) (.22) (28,454) (.06)
------------ ------- ------------ ------

TRADING RESULTS
Trading profit (loss):
Realized -- -- (163,591) (.41)
Net change in unrealized (1,429,487) (.88) (74,936) (.19)
------------ ------- ------------ ------
Total Trading Results (1,429,487) (.88) (238,527) (.60)
------------ ------- ------------ ------
NET LOSS (1,795,807) (1.10) (266,981) (.66)
============ ======= ============ ======

MORGAN STANLEY SPECTRUM SERIES
- ------------------------------------------------------------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSET VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
FOR THE MONTH ENDED JANUARY 31, 2007 (UNAUDITED)

MORGAN STANLEY MORGAN STANLEY
SPECTRUM CURRENCY SPECTRUM GLOBAL BALANCED
--------------------------------------------- ---------------------------------------------
PER PER
UNITS AMOUNT UNIT UNITS AMOUNT UNIT
-------------- ----------- ---------- ------------- ---------- --------
$ $ $ $

Net Asset Value,
January 1, 2007 14,327,328.169 163,049,336 11.38 2,586,996.544 40,357,320 15.60
Net Loss -- (1,795,807) (.13) -- (266,981) (.10)
Redemptions (248,889.004) (2,800,001) 11.25 (49,382.561) (765,430) 15.50
Subscriptions 97,463.955 1,096,469 11.25 22,674.796 351,459 15.50
-------------- ----------- ------------- ----------
Net Asset Value,
January 31, 2007 14,175,903.120 159,549,997 11.25 2,560,288.779 39,676,368 15.50
============== =========== ============= ==========

The accompanying notes are an integral part of these financial statements.

MORGAN STANLEY MORGAN STANLEY MORGAN STANLEY
SPECTRUM SELECT SPECTRUM STRATEGIC SPECTRUM TECHNICAL
------------------------------ ------------------------------- ------------------------------
PERCENTAGE OF PERCENTAGE OF PERCENTAGE OF
JANUARY 1, 2007 JANUARY 1, 2007 JANUARY 1, 2007
BEGINNING BEGINNING BEGINNING
AMOUNT NET ASSET VALUE AMOUNT NET ASSET VALUE AMOUNT NET ASSET VALUE
------------ --------------- ------------ --------------- ------------ ----------------
$ % $ % $ %

INVESTMENT INCOME
Interest income (Note 2) 1,817,769 .33 655,623 .31 2,528,556 .33
------------ ----- ------------ ----- ------------ -----

EXPENSES
Brokerage fees (Note 2) 2,717,612 .50 1,047,385 .50 3,784,105 .50
Management fees (Note 3) 1,194,007 .21 488,670 .23 1,662,427 .21
Incentive fees (Note 3) -- -- -- -- 77,430 .01
------------ ----- ------------ ----- ------------ -----
Total Expenses 3,911,619 .71 1,536,055 .73 5,523,962 .72
------------ ----- ------------ ----- ------------ -----
NET INVESTMENT LOSS (2,093,850) (.38) (880,432) (.42) (2,995,406) (.39)
------------ ----- ------------ ----- ------------ -----

TRADING RESULTS
Trading profit (loss):
Realized 6,141,418 1.13 4,360,359 2.08 15,460,280 2.04
Net change in unrealized 5,386,792 .99 (3,514,698) (1.68) 14,399,976 1.90
------------ ----- ------------ ----- ------------ -----
Total Trading Results 11,528,210 2.12 845,661 .40 29,860,256 3.94
------------ ----- ------------ ----- ------------ -----
NET INCOME (LOSS) 9,434,360 1.74 (34,771) (.02) 26,864,850 3.55
============ ===== ============ ===== ============ =====

MORGAN STANLEY SPECTRUM SERIES
- ------------------------------------------------------------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSET VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
FOR THE MONTH ENDED JANUARY 31, 2007 (UNAUDITED)

MORGAN STANLEY MORGAN STANLEY MORGAN STANLEY
SPECTRUM SELECT SPECTRUM STRATEGIC SPECTRUM TECHNICAL
----------------------------------- ----------------------------------- -----------------------------------
PER PER PER
UNITS AMOUNT UNIT UNITS AMOUNT UNIT UNITS AMOUNT UNIT
-------------- ----------- ---- -------------- ----------- ---- -------------- ----------- ----
$ $ $ $ $ $

Net Asset Value,
January 1, 2007 18,702,848.006 543,522,485 29.06 12,217,629.382 209,477,064 17.15 32,115,800.116 756,820,958 23.57
Net Income (Loss) -- 9,434,360 .51 -- (34,771) (.01) -- 26,864,850 .83
Redemptions (231,472.172) (6,844,632) 29.57 (134,257.062) (2,301,166) 17.14 (381,518.774) (9,309,058) 24.40
Subscriptions 231,674.604 6,850,618 29.57 201,323.628 3,450,687 17.14 384,115.430 9,372,417 24.40
-------------- ----------- -------------- ----------- -------------- -----------
Net Asset Value,
January 31, 2007 18,703,050.438 552,962,831 29.57 12,284,695.948 210,591,814 17.14 32,118,396.772 783,749,167 24.40
============== =========== ============== =========== ============== ===========

The accompanying notes are an integral part of these financial statements.

MORGAN STANLEY SPECTRUM SERIES
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------
(UNAUDITED)
- --------------------------------------------------------------------------------
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

ORGANIZATION. Morgan Stanley Spectrum Currency L.P. ("Spectrum Currency"),
Morgan Stanley Spectrum Global Balanced L.P. ("Spectrum Global Balanced"),
Morgan Stanley Spectrum Select L.P. ("Spectrum Select"), Morgan Stanley Spectrum
Strategic L.P. ("Spectrum Strategic"), and Morgan Stanley Spectrum Technical
L.P. ("Spectrum Technical") (individually, a "Partnership", or collectively, the
"Partnerships"), are limited partnerships organized to engage primarily in the
speculative trading of futures contracts, options on futures and forward
contracts, and forward contracts on physical commodities and other commodity
interests, including, but not limited to, foreign currencies, financial
instruments, metals, energy, and agricultural products (collectively, "Futures
Interests").

The general partner of each Partnership is Demeter Management Corporation
("Demeter"). The non-clearing commodity broker is Morgan Stanley DW Inc.
("Morgan Stanley DW"). The clearing commodity brokers for Spectrum Global
Balanced, Spectrum Select, Spectrum Strategic, and Spectrum Technical are Morgan
Stanley & Co. Incorporated ("MS&Co.") and Morgan Stanley & Co. International
Limited ("MSIL"). Spectrum Currency's clearing commodity broker is MS&Co. MS&Co.
acts as the counterparty on all of the foreign currency forward contracts. In
2007, Morgan Stanley intends to merge Morgan Stanley DW into MS&Co. Upon
completion of the merger, the surviving entity, MS&Co., will be the
Partnerships' principal U.S. commodity broker-dealer. For Spectrum Strategic and
Spectrum Technical, Morgan Stanley Capital Group Inc. ("MSCG") acts as the
counterparty on all of the options on foreign currency forward contracts.
Demeter, Morgan Stanley DW, MS&Co., MSIL, and MSCG are wholly-owned subsidiaries
of Morgan Stanley.

Demeter is required to maintain a 1% minimum interest in the equity of each
Partnership and income (losses) are shared by Demeter and the limited partners
based upon their proportional ownership interests.

USE OF ESTIMATES. The financial statements are prepared in accordance with
accounting principles generally accepted in the United States of America, which
require management to make estimates and assumptions that affect the reported
amounts in the financial statements and related disclosures. Management believes
that the estimates utilized in the preparation of the financial statements are
prudent and reasonable. Actual results could differ from those estimates.

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MORGAN STANLEY SPECTRUM SERIES
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NOTES TO FINANCIAL STATEMENTS
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(CONTINUED)

REVENUE RECOGNITION. Futures Interests are open commitments until settlement
date, at which time they are realized. They are valued at market on a daily
basis and the resulting net change in unrealized gains and losses is reflected
in the change in unrealized trading profit (loss) on open contracts from one
period to the next on the Statements of Operations.Monthly, Morgan Stanley DW
pays each Partnership interest income equal to 80% of the month's average daily
"Net Assets" (as defined in the Limited Partnership Agreements) in the case of
Spectrum Currency, Spectrum Select, Spectrum Strategic, and Spectrum Technical,
and on 100% in the case of Spectrum Global Balanced. The interest rate is equal
to the prevailing rate on U.S. Treasury bills. For purposes of such interest
payments, Net Assets do not include monies owed to the Partnerships on Futures
Interests.

The Partnerships' functional currency is the U.S. dollar; however, they
transact business in currencies other than the U.S. dollar. Assets and
liabilities denominated in currencies other than the U.S. dollar are translated
into U.S. dollars at the rates in effect at the date of the Statements of
Changes in Net Asset Value. Income and expense items denominated in currencies
other than the U.S. dollar are translated into U.S. dollars at the rates in
effect during the period. Gains and losses resulting from the translation to
U.S. dollars are reported in income currently.

NET INCOME (LOSS) PER UNIT. Net income (loss) per unit of limited partnership
interest ("Unit(s)") is computed using the weighted average number of Units
outstanding during the period.

BROKERAGE AND RELATED TRANSACTION FEES AND COSTS. The brokerage fees for
Spectrum Currency and Spectrum Global Balanced are accrued at a flat monthly
rate of 1/12 of 4.6% (a 4.6% annual rate) of Net Assets as of the first day of
each month.

Brokerage fees for Spectrum Select, Spectrum Strategic, and Spectrum
Technical are accrued at a flat monthly rate of 1/12 of 6.00% (a 6.00% annual
rate) of Net Assets as of the first day of each month.

Such brokerage fees currently cover all brokerage fees, transaction fees and
costs, and ordinary administrative and continuing offering expenses.

OPERATING EXPENSES. The Partnerships incur monthly management fees and may incur
incentive fees. All common administrative and continuing offering expenses
including legal, auditing, accounting, filing fees, and other related expenses
are borne by Morgan Stanley DW through the brokerage fees paid by the
Partnerships.

CONTINUING OFFERING. Units of each Partnership are offered at a price equal to
100% of the Net Asset Value per Unit as of the close of business on the last day
of each month. No selling commissions or charges related to the continuing
offering of Units are paid by the limited partners or the Partnerships. Morgan
Stanley DW pays all such costs.

REDEMPTIONS. Limited partners may redeem some or all of their Units at 100% of
the Net Asset Value per Unit as of the end of the last day of any month that is
at least six months after the closing at which a person first becomes a limited
partner. The Request for Redemption must be delivered to a limited partner's
local Morgan Stanley Branch Office in time for it to be forwarded and received
by Demeter no later than 3:00 p.m., New York City time, on the last day of the
month in which the redemption is to be effective. Redemptions must be made in
whole Units, in a minimum amount of 50 Units required for each redemption,
unless a limited partner is redeeming his entire interest in a Partnership.

Units redeemed on or prior to the last day of the twelfth month from the date
of purchase will be subject to a redemption charge equal to 2% of the Net Asset
Value of a Unit on the Redemption Date. Units redeemed after the last day of the
twelfth month and on or prior to the last day of the twenty-fourth month from
the date of purchase will be subject to a redemption charge equal to 1% of the
Net Asset Value of a Unit on the Redemption Date. Units redeemed after the last
day of the twenty-fourth month from the date of purchase will not be subject to
a redemption charge. The foregoing redemption charges are paid to Morgan Stanley
DW.

EXCHANGES. On the last day of the first month which occurs more than six months
after a person first becomes a limited partner in any of the Partnerships, and
at the end of each month thereafter, limited partners may exchange their
investment among the Partnerships (subject to certain restrictions outlined in
the Limited Partnership Agreements) without paying additional charges.

DISTRIBUTIONS. Distributions, other than redemptions of Units, are made on a
pro-rata basis at the sole discretion of Demeter. No distributions have been
made to date. Demeter does not intend to make any distributions of the
Partnerships' profits.

INCOME TAXES. No provision for income taxes has been made in the accompanying
financial statements, as partners are individually responsible for reporting
income or loss based upon their respective share of each Partnership's revenues
and expenses for income tax purposes.

DISSOLUTION OF THE PARTNERSHIPS. Spectrum Currency, Spectrum Global Balanced,
Spectrum Strategic, and Spectrum Technical will terminate on December 31, 2035
and Spectrum Select will terminate on December 31, 2025, regardless of financial
condition at such time, or at an earlier date if certain conditions occur as
defined in each Partnership's Limited Partnership Agreement.

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2. RELATED PARTY TRANSACTIONS
The Partnerships pay brokerage fees to Morgan Stanley DW as described in Note 1.
Spectrum Global Balanced, Spectrum Select, Spectrum Strategic, and Spectrum
Technical's cash is on deposit with Morgan Stanley DW, MS&Co., and MSIL, and
Spectrum Currency's cash is on deposit with Morgan Stanley DW and MS&Co., in
futures interests trading accounts to meet margin requirements as needed. Morgan
Stanley DW pays interest on these funds as described in Note 1.

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3. TRADING ADVISORS
Demeter, on behalf of each Partnership, retains certain commodity trading
advisors to make all trading decisions for the Partnerships. The trading
advisors for each Partnership are as follows:

Morgan Stanley Spectrum Currency L.P.
John W. Henry & Company, Inc.
Sunrise Capital Partners, LLC

Morgan Stanley Spectrum Global Balanced L.P.
SSARIS Advisors, LLC

Morgan Stanley Spectrum Select L.P.
EMC Capital Management, Inc. ("EMC")
Northfield Trading L.P. ("Northfield")
Rabar Market Research, Inc. ("Rabar")
Sunrise Capital Management, Inc. ("Sunrise")
Graham Capital Management, L.P. ("Graham")

Morgan Stanley Spectrum Strategic L.P.
Blenheim Capital Management, L.L.C. ("Blenheim")
Eclipse Capital Management, Inc. ("Eclipse")
FX Concepts (Trading Advisor), Inc. ("FX Concepts")

Morgan Stanley Spectrum Technical L.P.
Campbell & Company, Inc. ("Campbell")
Chesapeake Capital Corporation ("Chesapeake")
John W. Henry & Company, Inc. ("JWH")
Winton Capital Management Limited ("Winton")

Compensation to the trading advisors by the Partnerships consists of a
management fee and an incentive fee as follows:

MANAGEMENT FEE. The management fee for Spectrum Currency is accrued at a rate of
1/12 of 2% per month of Net Assets allocated to each trading advisor on the
first day of each month (a 2% annual rate).

The management fee for Spectrum Global Balanced is accrued at a rate of 5/48
of 1% per month of Net Assets allocated to its sole trading advisor on the first
day of each month (a 1.25% annual rate).

The management fee for Spectrum Select is accrued at a rate of 1/4 of 1% per
month of Net Assets allocated to Northfield and Sunrise on the first day of each
month (a 3% annual rate), 5/24 of 1% per month of Net Assets allocated to EMC
and Rabar on the first day of each month (a 2.5% annual rate), and 1/12 of 2%
per month of Net Assets allocated to Graham on the first day of each month (a 2%
annual rate).

The management fee for Spectrum Strategic is accrued at a rate of 1/12 of 3%
per month of Net Assets allocated to Blenheim and Eclipse on the first day of
each month (a 3% annual rate) and 1/12 of 2% per month of Net Assets allocated
to FX Concepts on the first day of each month (a 2% annual rate).

The management fee for Spectrum Technical is accrued at a rate of 1/12 of 2%
per month of Net Assets allocated to JWH and Winton on the first day of each
month (a 2% annual rate) and 1/12 of 3% per month of Net Assets allocated to
Campbell and Chesapeake on the first day of each month (a 3% annual rate).

INCENTIVE FEE. Spectrum Currency pays a monthly incentive fee equal to 20% of
the trading profits experienced with respect to each trading advisor's allocated
Net Assets as of the end of each calendar month.

Spectrum Global Balanced pays a monthly incentive fee equal to 15% of the
trading profits experienced with respect to its sole trading advisor's allocated
Net Assets as of the end of each calendar month.

Spectrum Select pays a monthly incentive fee equal to 15% of the trading
profits experienced with respect to the Net Assets allocated to Northfield and
Sunrise as of the end of each calendar month, 17.5% of the trading profits
experienced with respect to the Net Assets allocated to EMC and Rabar as of the
end of each calendar month, and 20% of the trading profits experienced with

respect to the Net Assets allocated to Graham as of the end of each calendar
month.

Spectrum Strategic pays a monthly incentive fee equal to 15% of the trading
profits experienced with respect to the Net Assets allocated to each of Blenheim
and Eclipse as of the end of each calendar month and 20% of the trading profits
experienced with respect to the Net Assets allocated to FX Concepts as of the
end of each calendar month.

Spectrum Technical pays a monthly incentive fee equal to 20% of the trading
profits experienced with respect to the Net Assets allocated to each of
Campbell, JWH, and Winton as of the end of each calendar month and 19% of the
trading profits experienced with respect to the Net Assets allocated to
Chesapeake as of the end of each calendar month.

Trading profits represent the amount by which profits from futures, forwards,
and options trading exceed losses after brokerage and management fees are
deducted.

For all Partnerships with trading losses, no incentive fee is paid in
subsequent months until all such losses are recovered. Cumulative trading losses
are adjusted on a pro-rata basis for the net amount of each month's
subscriptions and redemptions.

MANAGED FUTURES INVESTMENTS ARE SPECULATIVE, INVOLVE A HIGH DEGREE OF RISK, USE
SIGNIFICANT LEVERAGE, ARE GENERALLY ILLIQUID, HAVE SUBSTANTIAL CHARGES, ARE
SUBJECT TO CONFLICTS OF INTEREST, AND ARE SUITABLE ONLY FOR THE RISK CAPITAL
PORTION OF AN INVESTOR'S PORTFOLIO. BEFORE INVESTING IN ANY MANAGED FUTURES
INVESTMENT, QUALIFIED INVESTORS SHOULD READ THE PROSPECTUS OR OFFERING DOCUMENTS
CAREFULLY FOR ADDITIONAL INFORMATION WITH RESPECT TO CHARGES, EXPENSES, AND
RISKS. PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS.