Stocks or commodities? David Chalupnik, head of equities at First American Funds, told investors where they should be looking.
“[Commodities] could certainly power the equity markets higher with the declining dollar, but lower quality stocks continue to power this market higher,” Chalupnik told CNBC.
“When I say lower quality, I mean those are stocks that've really gotten beaten up in 2008. They continue to power this market higher and that will continue through year-end.”
CNBC Data Pages:
Chalupnik said the weak dollar could hurt stocks down the road, but it hasn’t affected the rally thus far.
“And certainly the fiscal and monetary stimulus were needed during this crisis,” he said. “The question will be taking that off and supporting the dollar as we move into 2010—probably the second half of 2010.”
More Market Intelligence:
______________________________
CNBC Slideshows:
______________________________
______________________________
CNBC's Companies in the News:
Ford
- Ford, UAW Reach Tentative Deal
CIT
- CIT Says CEO Peek to Resign; Bankruptcy Looms
Wal-Mart
Cisco
- Cisco to Buy Starent Networks for $2.9 Billion
Bank of America
______________________________
Disclosures:
No immediate information was available for Chalupnik or his firm.