Markets vacillated Wednesday, after two employment reports showed improvement—but not as much as expected. Where should investors be looking? David Kotok, chairman and chief investment officer of Cumberland Advisors (and CNBC contributor), and Dave Shepherd, financial planner at Retirement Financial Services, shared their views.
“[The market] is so dependent on what mood it's in and right now, it’s in a really tenuous place and we’ll have to wait and see,” Shepherd told CNBC.
“The market a lot of the times acts like a manic-depressive to the news cycles—and lately, it’s been climbing a wall of worry.”
Shepherd said he is looking into the technology and basic materials sectors.
"If we come out of the recession, basic materials could be a good place to be to be. That would have a basis in continued infrastructure spending,” he said. “And technology—still that core technology infrastructure that could be needed down the road," Shepherd said.
In the meantime, Kotok said he prefers large-caps over small-cap stocks and growth over value.
“The small cap play is over, that’s changed,” he said. “Large-cap leads—we continue to have an economic recovery, albeit tepid for a while. You want to be in it, you want to be in the markets.”
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No immediate information was available for Kotok or Shepherd.