Dollar Will Weaken, 3 Sectors Will Rule: Strategists
Stocks slipped Friday after the US government report showed more jobs were lost last month than expected. Quincy Krosby, chief market strategist at Prudential Financial, and David Spika, vice president and investment strategist at WHG Funds, discussed their insights.
“The job report this morning is confirmation of why you want to invest in companies with exposure to faster-growing foreign markets,” Spika told CNBC.
US employment fell for a second straight month in July with non-farm payrolls falling 131,000, according to the Labor Department.
Spika said the recovery is going to remain slow and consumer spending will be constrained due to high levels of unemployment.
He advised investors to look into companies in the technology, energy and industrial sectors that are leveraged to growth.
In the meantime, Krosby said the dollar will weaken, which will help the companies with international exposure.
“We’re also exposed to Treasurys and also corporate bond market including high-yield,” she added.
Scorecard—What They Said:
- Krosby's Previous Appearance on CNBC (Jul. 28, 2010)
- Spika's Previous Appearance on CNBC (Jul. 21, 2010)
Market Views—Bull and Bear:
- Forgotten Indicators Are Flashing Danger: Economist
- Equities—The 'Best House' in a Bad Neighborhood
CNBC Data Pages:
CNBC's Companies in the News:
BP Says It Has Sealed Off Gulf Oil Well With Cement
Bank of America
BofA Wants Release from Secret Restrictions: Report
- AIG Posts Loss on Goodwill Charge, Beats Expectations
No immediate information was available for Krosby or Spika.