Merger deals and continuing recovery in the overseas markets are giving U.S. stocks a good start to the week, but before getting distracted in this newfound volatility, where should investors keep their focus?
"The last couple of weeks we've had the issues with China and also subprime lending. We might just call this economic noise," said Nick Massey, vice president at Householder Group. "We suggest people focus on what's really driving the economy and we think that is consumer spending."
"Consumer spending, if you really look at it, is 70% of the U.S. economy," Massey added. "I don't think it slows down any time soon."
Craig Hodges, co-portfolio manager of The Hodges Fund, said his fund is focusing on pricing power, the ability to maintain or increase consumer prices.