Why Techs Are Still the Place to Be: Strategists
Stocks were lower Tuesday as investors waited to see if the Federal Reserve might take new actions to stimulate the economy. Jason Trennert, chief investment strategist and managing partner at Strategas Research Partners, and Frederic Dickson, senior vice president and chief investment strategist at D.A. Davidson & Co., shared their outlooks.
“The market still has legs into the end of the year—we look at 1,230 [on the S&P 500] by the end of the year,” Trennert told CNBC.
Trennert said he is encouraged to see more large-cap companies such as Cisco , TexasInstruments and Microsoft announcing dividend increases.
“One of the things you need to get the market to have legs is to get the retail investors to get back into the market. And the only way you’re going to do that is if stocks become competitive, in terms of yield, with fixed income products,” he explained.
In the meantime, Dickson said he favors techs and large-cap dividend stocks.
“There’s a huge appetite for yield in this marketplace and that’s where we want to put our money,” he said.
Scorecard—What They Said:
- Dickson's Previous Appearance on CNBC (Aug. 24, 2010)
- Trennert's Previous Appearance on CNBC (Sept. 10, 2010)
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No immediate information was available for Dickson or Trennert.