Stocks rallied Friday after the latest employment numbers showed signs of a stabilizing job market. The Labor Department report showed 247,000 jobs were cut from nonfarm payrolls last month, less than the 320,000 expected, and the prior two months were revised to show 43,000 fewer jobs were lost from payrolls than first reported. Read and listen to what the experts had to say...
Equities in 'Sweet Spot'
Equities are in a sweet spot now and conditions are set for equities to rise, said Peter Elston, at Aberdeen Asset Management Asia. “Looking at where we are in terms of equity markets, it seems that things are very conducive to rising equity prices,” he said.
Rally Getting Overbought
The rally has become quite overextended and markets are generally overbought, said Steven Mayne from Falcon Securities. He suggests investors begin reducing long exposures. “But it doesn’t necessarily mean we should start to short the markets straight away.”
Small Consolidation for Stocks Coming
It's been a "good run" for the market but it is looking a little overbought, said Mike Lenoff from Brewin Dolphin Securities. He sees a little bit of consolidation coming, “but the underlying support is there.” “After a brief period of consolidation, the markets will move upwards again,” he said.
Don’t Invest in the Banking Sector
Duncan Weldon from Senhouse Capital said he is not investing in the banking sectoras he doesn't see loan defaults peaking until "maybe a year after the economy starts growing again."