Stock rally is nearing end; oil has peaked: Here's where to invest

The bull market is nearing the end of its run, according to Dennis Gartman, editor and publisher of The Gartman Letter, while oil prices are also running out of room to rally.

“We are in the last 10%, maybe the last 5%, in the bull market of equities – you have to be careful from this point forward,” Gartman told Maria Bartiromo on “Mornings with Maria.”

Pressure on equites will come as the Federal Reserve hikes rates and yields go up, with Gartman noting that “rates are going to be higher than almost anyone wants to anticipate at this point.”

Gartman expects at least three, maybe four, rate hikes this year, with the Fed needing to get the Fed Funds Rate to 2.5% to 3% in the next year, year and-a-half, to have some power when the recession hits.

According to Gartman, there will be another recession.

Maria Bartiromo asked Gartman if there is anywhere to hide in stocks if rates go up, and he said “the best place to be is in high dividend paying shares,” adding that if he were made to buy things he would make purchases in real industrial activity: steel, copper, trucking and shipping.

Also, Gartman, a self-acknowledged commodity bull, says he doubts the ability of crude oil to rally much beyond where prices are now.