T. Rowe Price's Giroux: Avoid international, hold the Mag 7, buy utilities

David Giroux, manager of T. Rowe Price Capital Appreciation -- a fund that has beaten the performance of its average peer for a record 16 straight calendar years -- says that while U.S. stock valuations have gotten lofty, investors "don't need to diversify into a worse geography," and says investors can get international exposure by buying U.S. multi-nationals and have better companies. Domestically, Giroux says that the mega-cap Magnificent Seven stocks have gotten expensive but they are still worth holding over the next five years, but that investors must realize they won't "be where the best risk-rewards is in the market today." He's looking at high-grade fixed income, as well as utilities, parts of health care and other areas where low valuations are making the probability of success high. Also on the show, Matt Fox, president at Ithaca Wealth Management, says that the technicals are challenging for the market right now because "there is no real price memory" when the market moves into record territory, yet he is encouraged by "Multi-year bases that have experienced decisive breakouts across all sectors of the market," a phenomenon normally seen relatively early in an uptrend. Fox does think the market could retest the 4,800 level soon, but he remains positive on where it goes from here. Plus, author Kurt Wagner comes in for The Book Interview, discussing his new book -- out today -- "Battle for the Bird: Jack Dorsey, Elon Musk, and the $44 Billion Fight for Twitter's Soul."