Markets have been on a rise for the last four trading sessions, but will the trend continue? And where should investors be looking? Phil Orlando, chief equity market strategist at Federated Investors, and Les Satlow, portfolio manager at Cabot Money Management, discussed their market outlooks.
“The reality is, we could see a little pullback,” Orlando told CNBC.
“But we think fundamentals are in place, earnings are going to continue to improve and the market will be 1,100-plus at the end of the calendar year—10 percent or so higher than here.”
In the meantime, Satlow said he is “very bullish” on the financial sector.
“Financials are still despised and a lot of active equity managers are underweight financials and they may be for a long time,” he said.
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Satlow added that the phase of toxic asset writeoffs is over. He expects a lending bottleneck that will be released once unemployment peaks and consumer credit quality begins to improve.
“I think will happen in the next six months,” he said.
No immediate information was available for Orlando or Satlow.
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Bank of America