The U.S. markets continued their sell-off Monday, with the Dow falling more than 1,000 points for the first time in history and most major indexes erasing gains for the year.
And while some may consider this a buying opportunity, Chad Morganlander, portfolio manager at Washington Crossing Advisors, says there are some areas to avoid.
“Stay out of the speculative names that are more story stocks,” he told Cheddar in an interview. “There’s a frothiness to the market, especially with some of the fringe stocks, that’s reminiscent of 1998 and ‘99.”
“You could still pick up some value, but you just have to focus on the boring parts of the market, which are really on the consumer staples side.”
The “growthier” tech sector did post some of the biggest losses Monday, with Nvidia, Square, and Google parent Alphabet all falling more than 5 percent. Some of the highest fliers in the Cheddar 50 Index -- Apple, Netflix, and Alibaba -- are in correction territory, down more than 10 percent from all-time highs hit just a few weeks ago.
At its lows of the day, the Dow had dropped more than 1,500 points or 6.1 percent. It crossed below the 24,000 mark for the first time since December 1.
For full interview, [click here](https://cheddar.com/videos/dow-is-down-around-1-800-points-after-last-two-sessions).
In his second day of testimony before the Senate Banking Committee, Federal Reserve Chair Jerome Powell reiterated that the board is considering more interest rate hikes.
The government will require heavy trucks and buses to include automatic emergency braking equipment within five years, the federal traffic safety agency said Thursday, estimating it will prevent nearly 20,000 crashes save at least 155 lives a year.
The Food and Drug Administration on Thursday said it has sent warning letters to dozens of retailers selling fruit- and candy-flavored disposable e-cigarettes, including the current best-selling brand, Elf Bar.
Whether your credit card has declined or if you had difficulty splitting a bill at an outing, those awkward financial moments can get the best of us. Bobbi Robell, founder of Financial Wellness Strategies and author of "Launching Financial Grownups," joined Cheddar News to provide tips on how to handle those tense situations.
With inflation in the United States still excessive, most Federal Reserve officials expect to raise interest rates further this year, Chair Jerome Powell told a House committee Wednesday.
