"The Federal Reserve is tightening and profits are decelerating and the markets are doing exactly what they normally do under that combination. No one should be surprised by the bear market today. The Fed is not nearly as close to a 'pivot' as many would think since unemployment is at 3.5% and CPI is at 8.2%. The labor market remains historically tight and wage pressures now amount for less than 75% of inflation. I continue to favor defensive sectors like consumer staples, healthcare, and utilities," says Richard Bernstein.