Regardless of the reason for retailers' poor post-holiday performance, money is moving into a few other sectors, the CNBC "Fast Money" pros said Wednesday.
"Even on the online side, you're not seeing the kind of move people expected," OptionMonster's Pete Najarian said, adding that "fiscal cliff" concerns are putting pressure on share prices.
Absent a budget deal out of Washington, the so-called "fiscal cliff," a series of tax hikes and federal spending cuts, is set to take effect Jan. 1.
Midday, retailers represented 12 biggest percentage losers in the S&P 500.
Retail was hurt by the effects of Superstorm Sandy, said Joe Terranova of Virtus Investment Partners, who also noted what money managers were doing.
"Capital's coming out of consumer discretionary – I don't think you want to sell it completely – but it's moving into that materials and industrials space," he said. "That looks like the trade."
Stephen Weiss of Short Hills Capital, who held positions in Macy's, said he was disappointed by retail and wasn't looking for big gains anytime soon.
"There's been no reason to really feel good about retail, except for the housing numbers," he said. "The next move that's going to be in the market is going to be in the cyclical stocks if you get a deal on the 'fiscal cliff.' If not, then retail goes worse."
Jon Najarian of OptionMonster had a low bar for the stock market's performance.
"The fact that we're just above flat is a positive for me, but obviously there's a pretty significant rotation, and people are selling today in these retail names," he said. "You can see that because the volumes are pathetically low on the rest of the Street. About 50 percent of normal activity so far today, whether it's options or stocks, or even futures."
"All of them are nearly trading full-session volumes. They're certainly on track for that," he said. "It's the only sector in the market that is."
Trader disclosure: On Dec. 26, 2012, the following stocks and commodities mentioned or intended to be mentioned on CNBC's "Fast Money" were owned by the "Fast Money" traders: Joe Terranova is long VRTS; Joe Terranova is long TJX; Joe Terranova is long AAPL; Joe Terranova is long GS; Joe Terranova is long MS; Joe Terranova is long SWN; Joe Terranova is long GLW; Joe Terranova is long DELL; Joe Terranova is long VZ; Joe Terranova is long XOM; Pete Najarian is long AAPL; Pete Najarian is long FB; Pete Najarian is long BAC CALLS; Pete Najarian is long INTC CALLS; Pete Najarian is long CLF; Pete Najarian is long TCK; Pete Najarian is long EMN CALLS; Steve Weiss is long RIMM; Steve Weiss is long BAC; Steve Weiss is long M; Jon Najarian is short AGQ PUTS.