Liz Young, Head of investment strategy at SoFi

Expects the sector to recover this year, and likes current prices.

Oil prices have shown a little life recently. This is a contrarian trade, but likes it full year. It's part of the cyclical trade and will rise in a relief rally when rotation happens again.

Clarity from Trump will trigger a relief rally, especially in momentum names, and banish the current volatility.

In AI, software has taken over from the chips, because of valuation. Semis have run up recently and now investors are locking in some gains (but still in tech). Therefore old tech and software are benefiting now. 

Her energy outlook: bullish. If there's a rotation based on valuation, then energy is now attractive. If the Fed cuts rates in the second half of 2024, the 2-year-yield will drop which will benefit dividend stocks like energy. Also, we're in summer driving season and an oil price shock can always happen.

GME reflects high-risk, healthy risk in the market as inflation comes down and growth is decent. We are churning in equities. Steady. It's healthy. But later this year she expects cooling in growth and the economy, so what will be the street's threshold of pain.

Will benefit from investors taking profits from tech and buying energy.

Interest rate cuts are expected sometime this year, so you want to be into dividend payers before those cuts happen.

A commodity ETF with almost 50% in treasuries, plus a yield kicker.

Should. The market should have reacted different to rising rates and the yield curve inversion in the first half of 2023. Instead, the bulls have taken over and now see a new bull market rather than a bear market rally. She's not sure this sentiment will endure. She wishes she had not missed the rally in megatech. It's interesting that investors shifted from believing that if yields are down then tech is good to if yields are up the tech is good. They both cannot be right and something will have to give.

She picked it to start the year, but it hasn't performed well in the first six months. Healthcare has lagged this year, but when the VIX is this low, you want to hold defence.

She likes energy for the second half, that it's lagged in the first half of 2023. There's a floor on the oil price, which will support these stocks. Continuing consumer demand for travel will help support energy.