NEW YORK (TheStreet) -- The broader market rallied near all-time highs as a resolution to the debt ceiling crisis in Washington finally appears to be near.
Josh Brown, financial adviser at Ritholtz Wealth Management, said equities are cheap and hedge fund managers need to chase stocks to increase their performance. For these reasons, stocks should move higher into the end of the year.
Tim Seymour, managing partner at Triogem Asset Management, said he likes airlines, industrials, cyclical stocks and emerging markets. Equities might consolidate for a week before moving higher for the rest of 2013.
Guy Adami, managing director at stockmonster.com, questioned the valuation of equities, pointing out that the earnings season has been less than enthusiastic so far.
InternationalBusinessMachine (IBM) - Get Report fell following its earnings results. Adami said the stock has continued to miss earnings and shouldn't be considered a market indicator since it has lagged the indices all year.
Dave Rovelli, managing director of U.S. equity trading at Canaccord Genuity, was a guest on the show and said there was no way that Congress could have let the U.S. default. He thinks investors should keep buying on dips because the Federal Reserve will not taper amid these problems. His top picks include Qualcomm (QCOM) - Get Report, LaredoPetroleumHoldings (LPI) - Get Report and GulfportEnergy (GPOR) - Get Report.
AmericanExpress (AXP) - Get Report beat on the top and bottom lines. Brown said it's a company that upper-end consumers use. He's more interested to see results from Discover Financial Services (DFS) - Get Report, Visa (V) - Get Report and MasterCard (MA) - Get Report because they better represent American consumers.
Management from Macy's (M) - Get Report, Wal-Mart (WMT) - Get Report and now eBay have expressed concern over possible weak holiday shopping. Grasso suggested traders be leery of Amazon (AMZN) - Get Report.
Mike Weinstein, senior medical technology analyst at J.P. Morgan (JPM) - Get Report, was a guest on the show and said the medical device tax will mostly hurt small growth stocks such as Volcano (VOLC) and Spectranetics (SPNC) , while having a 3% to 4% negative impact on large-cap companies' earnings.
Mike Khouw said he is bearish on Green Mountain Coffee Roasters (GMCR) , citing neutral-to-bearish call option activity and questionable practices with accounting for its K-cup business.
For their final trades, Grasso is buying LasVegasSands (LVS) - Get Report and Brown is buying TupperwareBrands (TUP) - Get Report. Seymour said to buy VimpelCom (VIP) and Adami is buying ConocoPhillips (COP) - Get Report.
-- Written by Bret Kenwell in Petoskey, Mich.
Bret Kenwell currently writes, blogs and also contributes to Robert Weinstein's Weekly Options Newsletter. Focuses on short-to-intermediate-term trading opportunities that can be exposed via options. He prefers to use debit trades on momentum setups and credit trades on support/resistance setups. He also focuses on building long-term wealth by searching for consistent, quality dividend paying companies and long-term growth companies. He considers himself the surfer, not the wave, in relation to the market and himself. He has no allegiance to either the bull side or the bear side.