23 Mins Ago
Investors are staying in cyclical sectors despite risk of market pullback, strategist says
The market soared to new highs last week, following the March FOMC meeting. But Sam Stovall, chief investment strategist at CFRA Research, believes that a selloff could be on the horizon for equities.
“We’re coming off of a post-FOMC high,” he told CNBC in a Monday interview. “The market is getting more and more vulnerable to a market decline or a pullback in prices.”
Still, investors remain in more cyclical sectors, with Stovall seeing an improvement in activity in the energy, industrials and materials categories.
“They are continuing to say that the market will likely benefit from lower interest rates and see its effect on the more cyclical sectors,” he remarked. “I don’t see investors taking a very defensive position at this point. Instead of going into staples, healthcare and utilities, they’re likely to continue to gravitate towards materials, industrials and energy.”
— Lisa Kailai Han
50 Mins Ago
