GO
Loading...

It's Not What Ben Says Wed, It’s What He Doesn’t Say

The countdown is on. As we first told you several weeks back, Wednesday April 27th could be the scariest day of the quarter – in fact the whole year.

That’s the day when Federal Reserve Chairman Ben Bernanke will hold the first ever press briefing following a monetary policy decision by the central bank.

This change in the Fed’s communication with the markets alone is enough to give investors the jitters, but the nervousness is compounded by growing signs if inflation.

How should you position now? What should you be watching?

Instant insights with the Fast Money traders?

The Fast Money desk largely expects the Street to comb through not only every word, but every inflection and inference in Bernanke’s commentary.

Trader Zach Karabell compares the process to deciphering shadows on a cave of a wall. “Now we get the chance to parse what Ben Bernanke isn’t actually saying for words that he is actually saying.”

Although nobody knows what exactly he’ll say – the Fast Money traders think the trade is much more about what he won’t say.

”Will Bernanke talk about the need for fiscal austerity? Is there any chance there will be any real austerity Probably not.” says trader Steve Grasso. “In the United States people are poo-pooing the idea of austerity.”

”We’re not an austere culture,” adds Karabell.

In other words, the Fast traders don’t expect to hear any talk of inflation or the need to raise rates, at least not on Wednesday during the Q&A session. In fact, many pros think if Bernanke could have his way there would be further easing.

"I think Bernanke wants to continue to ‘QE3,’ but the rest of the Fed does not, says trader Steve Cortes.

If the traders are on point, that commentary should send the dollar lower. “The play is long commodities here," explains trader Brian Kelly. "I don't think the Chairman will say anything about austerity."

Grasso confirms that how market pros have been playing it. On the floor of the NYSE he’s seen money rotate into materials and energy. However, the trade may already be baked in the cake. "Materials and energy stocks have already popped 5% from their lows," he says.








______________________________________________________
Got something to to say? Send us an e-mail at fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment, but not have it published on our Web site, send those e-mails to fastmoney@cnbc.com.


Trader disclosure: On April 25, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Pete Najarian is long (PFE); Pete Najarian is long (TCK); Pete Najarian is long (AAPL); Pete Najarian is long (AKAM); Pete Najarian is long (C); Pete Najarian is long (HPQ); Pete Najarian is long (TEVA); Pete Najarian is long (MS); Pete Najarian is long (RSX); Pete Najarian is long (GE); Pete Najarian is long (RIMM) calls; Pete Najarian is long (AVL) calls; Pete Najarian is long (NTAP) calls; Pete Najarian is long (XLF) calls; Pete Najarian is long (PMCS) calls; Pete Najarian is long (CVS) calls; Pete Najarian is long (XL) calls; Pete Najarian is long (BSK) calls; Pete Najarian is long (HBC) calls; Pete Najarian is long (EWZ) calls; Karabell owns (BIDU); Karabell owns (COH); Karabell owns (GOOG); Karabell owns (AAPL); Karabell owns (AGQ); Grasso owns (AMD); Grasso owns (ASTM); Grasso owns (BA); Grasso owns (BAC); Grasso owns (C); Grasso owns (CSCO); Grasso owns (D); Grasso owns (JPM); Grasso owns (LIT); Grasso owns (LPX); Grasso owns (MHY); Grasso owns (NDAQ); Grasso owns (PFE); Grasso owns (PRST); Grasso owns (TEVA)

For Steve Grasso:
Stuart Frankel & Co and its partners own (AMD)
Stuart Frankel & Co and its partners own (AOL)
Stuart Frankel & Co and its partners own (CSCO)
Stuart Frankel & Co and its partners own (CUBA)
Stuart Frankel & Co and its partners own (GERN)
Stuart Frankel & Co and its partners own (HPQ)
Stuart Frankel & Co and its partners own (HSPO)
Stuart Frankel & Co and its partners own (MSFT)
Stuart Frankel & Co and its partners own (NYX)
Stuart Frankel & Co and its partners own (PFE)
Stuart Frankel & Co and its partners own (PRST)
Stuart Frankel & Co and its partners own (SDS)
Stuart Frankel & Co and its partners own (UAL)
Stuart Frankel & Co and its partners own (XRX)
Stuart Frankel & Co and its partners are short (QQQQ)
Stuart Frankel & Co and its partners are short (AAPL)

For Michael Pachter
Wedbush Securities Is A Market Maker In (NFLX)

For Brian Kelly
Accounts Managed by Brian Kelly Capital own (SLV)
Accounts Managed by Brian Kelly Capital own (GLD)
Accounts Managed by Brian Kelly Capital own (DIA)
Accounts Managed by Brian Kelly Capital own (SU)
Accounts Managed by Brian Kelly Capital own (CNQ)
Accounts Managed by Brian Kelly Capital own (RVBD)
Accounts Managed by Brian Kelly Capital own (BCSI)
Accounts Managed by Brian Kelly Capital own (DBA)
Accounts Managed by Brian Kelly Capital are short gold
Accounts Managed by Brian Kelly Capital own silver futures
Accounts Managed by Brian Kelly Capital own wheat futures
Accounts Managed by Brian Kelly Capital own soybeans futures
Accounts Managed by Brian Kelly Capital own natural gas futures

For Zachary Karabell
River Twice Capital is short (NVDA) puts
River Twice Capital owns (JCI)
River Twice Capital and Karabell own (GS)
River Twice Capital is short (XLF)

Comcast Is The Parent Company Of CNBC
Comcast Is The Parent Company Of NBCUniversal
GE Owns 49% Of NBCUniversal
GE Owns 49% Of CNBC




CNBC.com with wires.

Symbol
Price
 
Change
%Change
SPDR MAT SEL
---
SPDR NRG SEL
---

Featured

Contact Halftime Report

  • Showtimes

    Halftime Report - Weekdays 12p ET
    Fast Money - Weekdays 5p ET