ORIONS Money Stocks

[AugustaFriends]

Sonders sees correction but not end to bull market
HOLLYWOOD, FLA. (MarketWatch) -- U.S. stocks are likely to endure a correction of 10% or more this year, but their multiyear advance hasn't ended, said Liz Ann Sonders, chief investment strategist at Charles Schwab & Co., on Tuesday. "I do think that the risk of something a little bit nastier is elevated, but I don't think the secular bull market is over," she said at ETF.com's Inside ETFs conference in a speech about her 2014 outlook. She said there are many years left in the current secular bull market, but noted that "you're not without drama in secular bulls," and that drama can include nasty corrections. Sonders also said an area of great opportunity in the U.S. economy is the manufacturing sector, which is experiencing a renaissance thanks to factors such as restrained U.S. labor costs, big wage increases in emerging markets and abundant domestic energy. In a brief interview after her speech, Sonders told MarketWatch that given her upbeat view on manufacturing and energy, her sector picks for this year are industrials and consumer discretionary. She also said she generally favors small-cap stocks in 2014.