CNBC Stock Blog
- 10 Dividend Picks For Your Portfolio: Chief Investors
- 4 Thanksgiving Week Buys For Your Portfolio: Market Pros
- There's a 'Great Chance' For a Double-Dip Recession: Strategist
- Retail Earnings and Sales to Improve in Q4: Analyst
- 4 Food Stocks to Stuff in Your Portfolio: Analyst
- S&P at 1050-1200 Trading Range Next Year: Strategist
- Art Cashin: Caution 'Growing' in Financials, Dividend Moves
- 3 Software Stock Picks from Lazard's Senior Analyst
- Investors Bet on a New Year's Rally For eBay
- Why You Should Play the Reflation Trade: Stock Picker
MOST SHARED
- Kuoni CEO Sees Recovery in Travel Sector
- Gold Retreats from Record High as Dollar Rebounds
- Dubai Struggles to Ease Debt Fears; Investors Rattled
- Chinese Overcapacity is Worsening, EU Chamber Warns
- Fannie Mae to Tighten Lending Standards: Report
- Wal-Mart Price Pressure Hurts China Workers: Report
- China Unveils Carbon Target Ahead of Copenhagen
- Hyundai-Kia Targets Rapid China Growth in 2010
- Great Britain, No Longer That Great: Investor
- 4 Thanksgiving Week Buys For Your Portfolio: Market Pros
- There's a 'Great Chance' For a Double-Dip Recession: Strategist
- Revenge of the Gangsta Nerds
- Will TCU See The "Flutie Effect?"
- Retail Earnings and Sales to Improve in Q4: Analyst
- Consumers Catching the Holiday Spirit
- It's Beginning To Look A Lot More Riskless
- Crescenzi: Claims Level Suggests End to Job Losses
- Hedge Funds Take Early Lead in Warren Buffett's 'Big Bet'
- Dubai Struggles to Ease Debt Fears; Investors Rattled
- Japanese Stocks Likely to Fall Broadly on Dubai Worries
- US Dollar Falls to 14-Year Low Against the Yen
- US Companies Already Moving on Curbing Emissions
- Fannie Mae to Tighten Lending Standards: Report
- Investing in Good Karma – and Making a Profit
- Retailers Should Believe in Christmas Miracles
- Bankruptcies Jump, Hitting Highest Level in Four Years
- Steepest Black Friday Discounts, Revealed
RSS FEED
Text Size 
CNBC News Associate
Stocks struggled to hold gains on Tuesday as investors took a breather after Monday's strong upward move. So is this is a skeptic’s rally or the continuation of a bull run? Jim Lacamp, portfolio manager and advisor at Macroportfolio Advisors, and Bill Stone, chief investment strategist at PNC Wealth Management, shared their insights. (See their sector recommendations, below.)
“It’s a balloon that keeps getting bigger and bigger, you just don’t want to be there when it pops,” Lacamp told CNBC.
“The Fed is adding more booze into the punch bowl so we know that party is still on, but we don’t know for how long it will last—and we all know it’s going to have a bad end.”
Judging by the retail, regional bank and dry shipping stocks, Lacamp said the economy is still not in a recovery.
“We’re still in [the markets] but looking for signs of a top and when we see the averages not setting new highs anymore and starting to create new lows, we’ll start to roll over and lighten up even more,” he said.
“You have to be careful because everybody is in the same trade and if everybody rushes out at the same time, it’s going to be a trampling effect and you do not want to be behind that,” Lacamp said.
Counterpoint: 'Sustainable'
In the meantime, Stone said he doesn’t believe the markets are overheated yet.
“We believe the economic recovery is sustainable, so we want to be towards the more cyclical sectors that are going to benefit from the continued economic global recovery,” he said.
Stone said he likes areas such as technology because it’s levered to the global economy coming back and it has some downside protection as techs don’t have a lot of debt.
“We found technology companies have been able to get the consumers to buy what they’re selling, even in a bad economy.”
Stone Likes:
Technology
Selected Materials
Financials
Industrials
Lacamp Likes:
U.S. Technology
Metals
Commodity/Natural Resource-Related Stocks and Countries
Brazil, India, Taiwan, Indonesia
Corporate Bonds
______________________________
More Market Perspectives:
- The 'Dancing Near the Door' Strategy for Rallies
- 'Mind Boggling' Asia Bubble Forming?
- S&P to Finish Above 1,100 by Year-End: Market Analyst
______________________________
CNBC Data Pages:
______________________________
CNBC Slideshows:
______________________________
______________________________
CNBC's Companies in the News:
Berkshire Hathaway [BRK.A
Loading...
()
]
JPMorgan Chase [JPM
Loading...
()
]
News Corp. [NWS
Loading...
()
]
Google [GOOG
Loading...
()
]
______________________________
Disclosures:
No immediate information was available for Lacamp or Stone.
______________________________
Data is a real-time snapshot *Data is delayed at least 15 minutes