'Halftime' traders debate the market setup for the next half of 2026

Watch on YouTube ↗  |  June 29, 2026 at 18:09  |  10:49  |  CNBC
Speakers
Joe Terranova — Senior Managing Director, Virtus Investment Partners
Stephanie Link — Chief Investment Strategist, Hightower
Jenny Harrington — CEO, Gilman Hill Asset Management
Jim Lebenthal — Partner, Cetera Investment Management
Scott Wapner — Host, CNBC
Bryn Talkington — Managing Partner, Requisite Capital Management

Summary

The Halftime Report panel discusses Q2-end market rotation, the broadening of market leadership, and the investment setup for H2 2026. Panelists express broad optimism, citing a stronger-than-expected economy, falling oil prices, and earnings growth. They outline specific stock and sector picks, with themes of diversification, AI broadening, and a peak in bond yields.

  • Joe Terranova advises against timing rotations and recommends a diversified basket of individual stocks (VLO, LLY, MRK, CSX, HON, AMAT, KLAC, LRCX, PANW).
  • Stephanie Link sees the strong economy broadening earnings into financials, materials, and technology, and favors buying SBUX and DKS on discretionary weakness.
  • Jenny Harrington highlights entry points in MAG-7 stocks and reveals recent META purchases into the pullback.
  • Jim Lebenthal believes AI benefits are spreading to REITs, health insurance, and energy.
  • Joe Terranova also takes the view that the Fed won't hike rates in 2026, yields have peaked, and bonds will rally.
  • The panel generally agrees that falling oil prices and a resilient consumer support a positive market backdrop.
  • RBC Capital Markets raised its year-end S&P 500 target to 8150, reflecting the bullish consensus.
Ideas
Joe Terranova Senior Managing Director, Virtus Investment Partners 0:26
Own diversified basket across sectors.
Investors should avoid trying to pick the winning rotation and instead hold a broad variety of individual stocks across energy, healthcare, industrials, and semiconductors. The market is rewarding patience, with both equal-weight and cap-weight S&P 500 working, and these specific names offer exposure to different sectors.
MRK VLO LLY CSX HON AMAT KLAC LRCX PANW MED
Stephanie Link Chief Investment Strategist, Hightower 2:10
Long financials, materials, tech on strong economy.
The economy is much stronger than expected, driving broader earnings growth beyond tech. This makes sectors like financials, materials, and technology (both semiconductors and software) attractive.
XLB XLK XLF MED
Stephanie Link Chief Investment Strategist, Hightower 2:47
Buy Starbucks and Dick's on dip.
Consumer discretionary is getting hit hard, creating an opportunity to buy best-in-class companies Starbucks and Dick's, which benefit from a strong consumer and declining oil prices.
SBUX DKS MED
Jenny Harrington CEO, Gilman Hill Asset Management 4:00
Buy META on pullback.
After a near 6% pullback in the MAG-7, entry points matter. META was purchased for accounts on Friday when the stock traded cheaper, indicating it is an attractive buy on weakness.
META MED
Jim Lebenthal Partner, Cetera Investment Management 4:49
AI broadening benefits REITs, healthcare, energy.
AI's benefits are broadening beyond obvious tech winners, now flowing to real estate investment trusts, health insurance, and energy. This breadth is just starting to be appreciated.
XLE XLV XLRE MED
Joe Terranova Senior Managing Director, Virtus Investment Partners 9:15
Long bonds, peak yields, no hikes.
The Federal Reserve will not hike rates in 2026; the peak in bond yields has been reached. Falling oil prices and a data-dependent, hawkish-but-pragmatic Fed chair will keep inflation in check, supporting bond prices.
TLT MED
Up Next
5:11
Comcast spinning off media divisions is clearly the right move, says Oppenheimer's Timothy Horan
CNBC · Jun 29
4:19
Honeywell Aerospace CEO: Top priority is to invest in supply base to unlock capacity
CNBC · Jun 29
55:05
The First Great Depression: Lessons from the 1873 Global Financial Collapse | Liaquat Ahamed
Monetary Matters · Jun 29
10:21
What Socrates and Elevators Teach Crypto About Trust: DEX in the City
Unchained (Chopping Block) · Jun 29
1:32:40
Comcast’s Big NBCUniversal Shakeup | Open Interest 6/29/2026
Bloomberg Markets · Jun 29

This CNBC video, published June 29, 2026, features Joe Terranova, Stephanie Link, Jenny Harrington, Jim Lebenthal discussing MRK, VLO, LLY, CSX, HON, AMAT, KLAC, LRCX, PANW, XLB, XLK, XLF, SBUX, DKS, META, XLE, XLV, XLRE, TLT. 6 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Joe Terranova, Stephanie Link, Jenny Harrington, Jim Lebenthal  · Tickers: MRK, VLO, LLY, CSX, HON, AMAT, KLAC, LRCX, PANW, XLB, XLK, XLF, SBUX, DKS, META, XLE, XLV, XLRE, TLT