CNBC Stock Blog

2 Winning Sectors Resist 'Turbulent' Market: Strategist

Markets rose on Monday, rebounding off of their worst week since last March. What should investors expect from the markets going forward? Dan Genter, president, CEO and CIO of RNC Capital Management, and David Hefty, CEO of Cornerstone Wealth Management, shared their outlooks. (See Genter's stock picks, below.)

Market Correction Looming?

“I think [markets] are moving up. It’s definitely slow and steady and people will have to digest that,” Genter told CNBC.

Genter said investors should look for companies that will be able to produce topline earnings—even in this type of "turbulent environment."

“You look at the consumer staples area,” he said. “And health care is still going to win. Even if we don’t get a massive legislation reform, there’s still going to be a push to have more health care.”

In the meantime, Hefty said we are in the “11th year of a secular bear market.”

“And we’re in the infancy stages of a global financial crisis, where not only the U.S. but the rest of the industrialized world also has to deleverage,” he said.

“The P/E ratios are very high, the premise of the recession is behind us, and we’re on a great recovery. That’s why these earnings reports are so critical, because they not only have to meet, but have to exceed in order for the markets to continue its upward march,” Hefty declared.

Hefty Likes:

Natural Gas (Feb.’10)

Crude Oil (Mar.’10)

SPDR S&P 500

Genter Likes:


Procter & Gamble

Philip Morris International

Teva Pharmaceutical

Johnson & Johnson

More Market Views:

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No immediate information was available for Genter or Hefty.