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I -- guess this is selling is more evidence we are in that long anticipated spring correction that well -- -- said the Madonna about reverend out.
Market without Wells Fargo advantage funds senior portfolio manager -- joins us now.
Mark I mean is this it because it seems to me that.
No reason that wearing down at -- -- because of the holding -- talking not really because anything else is changed.
Well that's right I think the -- -- talk really scared out a lot of the short term -- money.
There was actually in the market and helped to create these -- that we saw sort of the end of the first quarter economic fundamentals look pretty good although growth will be slow.
And we're likely to see growth slowed down.
Over the next couple quarters so that might justify a little pause in the equity market.
To see how our earnings and looking before we -- -- much stronger end of the year when we see -- start to rebound by the fourth quarter.
So -- -- I've -- keeping some cash on the sidelines and be ready to jump in -- the market backs up.
Well I think every -- is a good day to buy if you have companies are -- would -- position that have long term growth prospects because.
Most stocks although they're up this year are really pretty reasonably priced compared to their earnings power.
And so I think it's a good time to put money -- -- not looking for big correction may be eight to 10%.
In the equity markets and you really had the Fed providing liquidity to keep this from.
Being a severe.
Recession or a real -- back in the equity markets I would buy today where the opportunities are.
And so therefore what does that mean for the summer you know what ever we've had some -- that were really really scary for a lot of people.
Are you anticipating similar or hopefully fingers -- something a little bit more quiet.
-- -- -- We may have -- short term shopping has narrowed swings but very choppy the way we've had for the last week and I think.
As we have some of this -- money which which show was in the market apparently more than we may have realized.
Be drained out of the market I think we should vote for ups and downs and maybe a little downward bias.
Until we start to get a catalyst for an acceleration and earnings for the next quarter and earnings may look a little softer than we'd like.
And so I think that may contribute to the market not really making much forward headway.
So in the meantime -- -- as we wait for this correction and see which way the economy and if indeed the economy can pick up later in the year.
When you put your money what sectors do you like.
Well I like it more and more companies.
That get most of their revenue from the US because it looks as if our gross is going to accelerate.
And we have a lot of long term strengths whether it's autos housing consumer expenditures which are holding very strong even will be helped by stronger dollar.
So I'm particularly looking at consumer companies staple companies that can grow their earnings with new products.
Companies it will benefit from low cost -- gas and liquids from the shale gas revolution.
And also in health care space I think we'll continue to see these specialty farming area -- even big pharma do pretty well as say -- -- products.
Let me before I let you -- I -- ask you about your consumer staple call here because a lot of people saying the consumer staples are done.
Moving money into much more discretionary stocks how come -- stay in there.
Well because I think they have a better shot of sustaining the kind of growth that they -- -- which -- really been pretty good.
I think a lot of people are looking for more sensitive.
More cyclical companies say the industrials may be some materials I think that's a little premature.
With gross looking probably one and a half percent over the next quarter to so I'd -- -- was what I think I have a more short shot cause growth to be continued.
Margaret -- we love having me on Wells Fargo advantage.
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