Brian Kelly is downright bearish. “I don’t know if Jamie Dimon told us anything we didn’t know. I think a lot of what he said is priced in. If I was long I’d use the rally to take profits. Personally, I’m more interested in shorting banks in the future. The Massachusetts ruling is a tremendous overhang.”
Steve Cortes expects banks to trade higher, but he sees the gains largely tethered to the steeper yield curve. ”Banks seem to be trading in tandem with the yield curve,” he explains. "It’s almost the exact same view. As long as the yield curve stays steep I expect banks get a bid.”
But Cortes doesn’t recommend playing the space with big banks. Instead he says, “I think the play is long Goldman and Morgan Stanley . True to his contrarian nature he explains, “Too many investors are focused on the trading at these firms and not focused enough on their banking revenue. M&A deal flow has been incredible in this new year and I think that continues.”
Patty Edwards tells the desk she’s already long Citi and Goldman, “and I plan to hold these stocks for a while longer but I’m not a believer in most large cap banks.”
And in case you’re wondering how the options pits weigh on all this, Jon Najarian tell us us he’s seeing a lot of bets on Citi to the upside. The volume of Jan 5 calls, Feb 5 calls even April 5 calls suggests to him the stock could have room to run.
Joe Terranova is also focused on Citi. "The stock closed above $5 for the first time since August. "(If it stays above $5) I think we’ll start to see institutional money come into this name," which should drive it higher.
Karen Finerman reminds the desk, she's long JPMorgan. "I’m optimistic that we’re going to see momentum in this name," she says.
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TAKE YOUR POSITION: INTEL
Intel led chip stocks higher on Wednesday, a day ahead of earnings. How should you position?
What’s the chip trade?
In the space I’m a buyer of Qualcomm below $50, says Brian Kelly. And I’d take a look at ARM Holding for a pullback.
Wireless chips names, such as NVIDIA interest me more, says Josh Brown. I think Marvell may play catch up.
Broadcom is also worth putting on the radar, says Joe Terranova.
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Trader disclosure: On January 12, 2010, following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Terranova owns (GM); Terranova owns (C); Terranova owns (VRTS); Terranova owns (UPL); Terranova owns (PEP); Terranova owns (OXY); Terranova owns (GS); Terranova owns (LTD); Terranova owns (CNQ); Terranova owns (PVH); Terranova owns (CVI); Terranova owns (GLD) puts; Adami owns (AGU); Adami owns (C); Adami owns (BTU); Adami owns (GS); Adami owns (INTC); Adami owns (MSFT); Adami owns (NUE); Adami's wife works at (MRK); Finerman's firm is short (MDY); Finerman's firm is short (SPY); Finerman's firm is short (IWM); Finerman's firm is long S&P puts; Finerman's firm is long Russell 2000 puts; Finerman owns (AAPL); Finerman owns (BAC); Finerman's firm owns (BBY); Finerman owns (BP); Finerman's firm owns (BP); Finerman's owns (GOOG); Finerman owns (HPQ); Finerman's firm owns (HPQ); Finerman's firm owns (IBM); Finerman owns (JPM) and (JPM) leaps; Finerman's firm owns (JPM) and (JPM) leaps; Finerman owns (MSFT); Finerman's firm owns (MSFT); Finerman's firm owns (TGT); Finerman's firm owns (WMT); Jon Najarian owns (C), is short (C) calls; Jon Najarian owns (JOE), is short (JOE) calls; Jon Najarian owns (NFLX), is short (NFLX) calls; Jon Najarian owns (BBY), is short (BBY) calls; Jon Najarian owns (BP), is short (BP) calls; Jon Najarian owns (CHK), is short (CHK) calls; Jon Najarian owns (PBR), is short (PBR) calls; Jon Najarian owns (GM), is short (GM) calls; Jon Najarian owns (F), is short (F) calls; Jon Najarian owns (AXP), is short (AXP) calls; Jon Najarian owns (AAPL), is short (AAPL) calls; Jon Najarian owns (QCOM), is short (QCOM) calls; Jon Najarian owns (STI), is short (STI) calls; Jon Najarian owns (ARUN), is short (ARUN) calls; Jon Najarian owns (EXPE), is short (EXPE) calls; Cortes is short (LVS); Cortes is short (XRT) vs. S&P; Cortes is short (XHB) vs. S&P; Cortes owns (EXC); Cortes owns (TSN); Cortes owns (SVU); Cortes is short Gold; Cortes owns U.S. Treasuries
For Joe Terranova
Terranova is Chief Market Strategist of Virtus Investment Partners, LTD
Virtus Investment Partners Owns More Than 1% Of (ABAX)
Virtus Investment Partners Owns More Than 1% Of (AMKR)
Virtus Investment Partners Owns More Than 1% Of (CCG)
Virtus Investment Partners Owns More Than 1% Of (CASS)
Virtus Investment Partners Owns More Than 1% Of (CSVI)
Virtus Investment Partners Owns More Than 1% Of (EXR)
Virtus Investment Partners Owns More Than 1% Of (FCFS)
Virtus Investment Partners Owns More Than 1% Of (IGE)
Virtus Investment Partners Owns More Than 1% Of (KRC)
Virtus Investment Partners Owns More Than 1% Of (LDR)
Virtus Investment Partners Owns More Than 1% Of (LPHI)
Virtus Investment Partners Owns More Than 1% Of (NCRI)
Virtus Investment Partners Owns More Than 1% Of (DBV)
Virtus Investment Partners Owns More Than 1% Of (XLB)
Virtus Investment Partners Owns More Than 1% Of (XLV)
Virtus Investment Partners Owns More Than 1% Of (XLP)
Virtus Investment Partners Owns More Than 1% Of (XLY)
Virtus Investment Partners Owns More Than 1% Of (XLE)
Virtus Investment Partners Owns More Than 1% Of (XLI)
Virtus Investment Partners Owns More Than 1% Of (XLK)
Virtus Investment Partners Owns More Than 1% Of (XLU)
Virtus Investment Partners Owns More Than 1% Of (SUBK)
Virtus Investment Partners Owns More Than 1% Of (WDFC)
Virtus Investment Partners Owns More Than 1% Of (YDNT)
Virtus Investment Partners Owns More Than 1% Of (CLB)
For Brian Kelly
Accounts Managed By Kanundrum Capital Own (FCX)
Accounts Managed By Kanundrum Capital Own (GDXJ) straddles
Accounts Managed By Kanundrum Capital Own (GLD)
Accounts Managed By Kanundrum Capital Own (TBT)
Accounts Managed By Kanundrum Capital Own (MON)
Accounts Managed By Kanundrum Capital Own (IPI)
Accounts Managed By Kanundrum Capital Own (ANDE)
Accounts Managed By Kanundrum Capital Own (USD)
Accounts Managed By Kanundrum Capital Are Short The Euro
Accounts Managed By Kanundrum Capital Are Short The Yen
For Patty Edwards
Edwards owns (SPY) for clients
Edwards owns (XLB) for clients
Edwards owns (GLD) for clients
Edwards owns (SLV) for clients
Edwards owns (AMZN) for clients
Edwards owns (F) for clients
Edwards owns (GM) for clients
Edwards owns (TTM) for clients
Edwards owns (V) for clients
Edwards owns (MA) for clients
Edwards owns (JNJ) for clients
Edwards owns (AAPL) for clients
Edwards owns (VZ) for clients
Edwards owns (MSFT) for clients
Edwards owns (RIMM) for clients
Edwards owns (GS) for clients
Edwards owns (C) for clients
Edwards owns (BMO) for clients
Edwards owns (BCS) for clients
Edwards owns (FXI) for clients
Edwards owns (SYT) for clients
Edwards owns (POT) for clients
For Joshua Brown
Brown owns (AAPL)
Brown owns (AAPL) for clients
Brown owns (AMZN) for clients
Brown owns (BAC)
Brown owns (BAC) for clients
Brown owns (BP) for clients
Brown owns (C)
Brown owns (C) for clients
Brown owns (DBA)
Brown owns (DBA) for clients
Brown owns (DIS) for clients
Brown owns (GE) for clients
Brown owns (GS) for clients
Brown owns (GLD)
Brown owns (GLD) for clients
Brown owns (GOOG) for clients
Brown owns (IWM) for clients
Brown owns (JNJ) for clients
Brown owns (JPM)
Brown owns (JPM) for clients
Brown owns (MOO)
Brown owns (MOO) for clients
Brown owns (MOS)
Brown owns (MOS) for clients
Brown owns (MSFT)
Brown owns (MSFT) for clients
Brown owns (POT)
Brown owns (QCOM)
Brown owns (QCOM) for clients
Brown owns (SBNY)
Brown owns (VZ)
Brown owns (VZ) for clients
Brown owns (WFC)
Brown owns (WFC) for clients
Brown owns (XOM) for clients
For Anthony Scaramucci
Scaramucci and Skybridge Capital Own (GS)
For Dennis Gartman
Dennis Gartman is long March KC Wheat
Dennis Gartman is long soybeans
Dennis Gartman is short the Yen
Dennis Gartman is long the Canadian Dollar
Dennis Gartman is long the Aussie Ddcollar
Dennis Gartman is long gold, short sterling
Dennis Gartman is short the Euro
For Steve Cortes
Cortes is long U.S. Treasuries
For Mike Khouw
Cantor Fitzgerald & Co is a market maker in (GOOG), (AAPL), (IBM)
For Brian Kelly Fast Fire SOT
No disclosures
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