The Dow Jones Industrial Average has officially broken above 22,000 and, according to Ari Wald at Oppenheimer, “there’s really no warnings to suggest that we’re due for a meaningful reversal lower,” he told Financial Sense Newshour on Saturday.
Even with a possible pullback in the seasonally weak August-September period, Ari says they are still buyers on weakness given the “healthy” action of the market:
“The action we’re seeing is very healthy in nature and the investor mindset should be that this is an intact bull market and I want to be positioned appropriately. Specifically, I want to own pro-cyclical equities that tend to outperform in a rising market environment.”
Ari, who is also a member of Oppenheimer’s Institutional Portfolio Strategy team, says that his favorite areas are financials, technology, and, outside of the US, emerging markets. Of the three, Ari seemed to think emerging markets have the greatest potential to outperform.
This post was published at FinancialSense on 08/07/2017.