Stocks rallied Thursday, with the Nasdaq gaining as much as 3 percent intraday. Is this the beginning of a summer rally or should investors continue to be cautious? Barry James, president of James Advantage Funds, and Dan Genter, president, CEO and CIO of RNC Genter Capital Management, shared their market outlooks.
“It’s an attractive place to buy in and you can do it in a very diversified fashion because all the sectors have pulled back,” Genter told CNBC. “So it’s a good point of entry if you have some cash on the sidelines.”
Genter said the crisis in Europe would not derail the U.S. economy.
“If we look at total GDP growth, 7.5 percent is coming from exports and 20 percent comes from Europe,” he explained. “Even if Europe pulls back a full 10 percent—which would be a big number—it’s only going to draw down our GDP by two-tenths of one percent, so it’s going to still keep us north of 3 percent of overall growth.”
Scorecard — What They Said:
- Genter's Previous Appearance on CNBC (May 11, 2010)
- James' Previous Appearance on CNBC (May 5, 2010)
Opposing Market Views:
- Stock Prices to Fall Further—So ‘Sit and Wait’
- Cramer: Why You Should Buy the 52-Week Highs
- 10 Reasons Why Markets Will Rebound: Pro
CNBC Data Pages:
Cramer's 12 Stocks to Play the Recovery
No immediate information was available for Genter or James.