NEW YORK (TheStreet) -- It's been a pretty brutal correction, right? Or has it? The S&P 500 is up 2.5% on Thursday, and after Wednesday's 4% surge, the index is actually positive for the week and is within 10 points of recapturing 2,000.
The correction boiled down to being a growth scare, Rob Sechan, an institutional consultant for UBS Private Wealth Management, said on CNBC's "Fast Money Halftime" show. Confidence has been restored in the Federal Reserve's policies after New York Fed President William Dudley spoke on Wednesday. There are no signs of a recession and the bull market is intact, Sechan added.
Jon Najarian, co-founder of optionmonster.com and trademonster.com, pointed out that the volatility index has fallen more than 50% from this week's high and is now trading near $25. He also said that European equities are enjoying a strong rally after selling off more than U.S. stocks.
Stephen Weiss, founder and managing partner of Short Hills Capital Partners LLC, said he's buying individual stocks, rather than the broader market. Specifically, he likes Macy's (M - Get Report) and Tenet Healthcare (THC - Get Report). He also noted that revisions to the second-quarter gross domestic product were strong, confirming that the economy is doing well.
Internationally, Weiss said European stocks have a very low price-to-earnings ratio and look attractive as a result. He's buying the iShares Currency Hedged MSCI Germany ETF (HEWG - Get Report) and also likes Japanese stocks.
Steve Grasso, director of institutional sales at Stuart Frankel, said investors should watch for the S&P 500 to climb above the range of 2,000 to 2,032. If it can, a further rally can ensue. If not, a pullback could be coming. Pension orders are building to buy stocks, and so big traders are trying to get in ahead of that before the end of the month, he explained.
Joseph Terranova, chief market strategist for Virtus Investment Partners, said that oil prices were surging Thursday, up 8.5% to almost $42 per barrel.
If the oil rally can continue, it will force short-sellers -- and there are a lot of them -- to cover, which will only push prices higher, Terranova said. In the end, though, high-quality oil stocks won't recover the fastest; instead, companies that have been beaten down will get a bigger pop short term.
Long-term energy investors should look at companies such as Exxon Mobil (XOM - Get Report) and Chevron (CVX - Get Report) , Terranova concluded. Najarian bought Exxon Mobil on Monday for the long term.
Sechan is a long-term buyer, and while the fundamentals for energy don't look good now, they will likely improve. Valuations are low, which makes it easier to buy, he added.
Tom Porcelli, chief U.S. economist at RBC Capital Markets, explained that just because consumers save money on gas prices doesn't mean there's suddenly more money in the economy; the spending simply shifts to different segments. Some sectors benefit, while others lose.
As for a possible rate hike, Porcelli says the odds of an increase in September have obviously dropped following Dudley's comments. Porcelli said the U.S. economy can handle a rate hike, but the Fed is also watching the stock market to examine the country's financial condition.
If things settle down between now and the Fed meeting in September, then the rate hike is back on the table for next month. If the Fed doesn't end up raising rates, then Porcelli said he will continue to look at the next meeting for an increase. If not September, then October. If not October, then December and so forth.
In essence, the Fed isn't delaying. It knows the economic data support a rate hike. The central bank is just being "thoughtful and pragmatic" to investors, Sechan added.