James Hardesty, president, market strategist and chief economist at Hardesty Capital Management, and Wayne Kaufman, chief market analyst at John Thomas Financial, weighed in on where to invest in a low-volume environment and what to watch next week. (See below for their stock picks.)
“We have very ample amounts of cash on the sidelines and we’ve seen a big surge in cyclical industrial stocks that now may be a chance for some of the laggards in the consumer staples areas to come and take over the leadership of the market in the next several weeks,” Hardesty told CNBC.
“I think this market upswing is firmly in place.”
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In the meantime, Kaufman said that markets selling in the last few days does not prove that investors are letting go of their stocks.
“You’ve have tremendous liquidity, the concept that companies are going to surprise on the upside because they have tremendous operating leverage and investors who have been reluctant to sell their stocks,” he said.
“So far, all three of those are still intact.”
Hardesty Likes:
