The Magnificent Seven tech stocks and the AI themes stole the show during recent market rallies. Do other sectors offer just as many promising opportunities to investors as the tech landscape, which some experts consider to be entering "bubble" territory? Kestra Investment Management CIO Kara Murphy joins Yahoo Finance Live to discuss looking past the major large cap stock narratives and finding value in small cap markets. "Valuation is a terrible timing tool. It's a pretty good predictor of what returns will be over the medium to long term. But, that does not suggest that small caps will start to outperform relative to large caps," Murphy says. "We're not building for a market for tomorrow, we're looking to expose ourselves to opportunities to help us get to those goals. So what that means is this is probably not the time to be leaning into these rich areas of the market. It's a time to examine your portfolio, make sure you have exposure to some of these other areas." For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live. Editor's note: This article was written by Luke Carberry Mogan.
Barclays and other Wall Street firms believe continued tech outperformance and a rebound in the US economy could lead stocks to their most optimistic bull case scenarios.
Consumer confidence declined in February amid concerns over developments in the labor market and the looming presidential election.