The market is off earlier highs but continues to maintain some positive momentum as traders believe an averted CIT Group ( CIT - Get Report) bankruptcy is a big positive for the markets. Let's take a look at where some of the action is.
If there is a momentum stock that deserves to trade at fairly rich valuations while still showing potential for further price appreciation, Microsoft is it.
Investors might have been spooked at first by the unfavorable impact of lower rates on net interest income. Yet, JPMorgan is likely the best bank stock to own amid an uncertain macroeconomic environment.
Despite the usual short-term headwinds, Schlumberger seems to be one of the best-positioned players in the energy services sector. Once the macro environment improves, the stock could head substantially higher from its current, depressed levels.