Donna from New York asks with the OPEC talks tomorrow and oil dropping below $60 a barrel, how should she play the oil dip during these market jitters?
Eric Bolling says after the OPEC meeting (the cartel is expected to leave output unchanged) oil will go lower because weather is getting warmer. He says buy Crude Oil, (@CL.1) but not at these levels. Wait for it to go down. But, as oil prices go down gas prices will stay stable, so another play is to buy the refiners.
Richard from NY asks about luxury retailer, Coach (COH) which has had a great run over the past few years. The styles and sales growth have been great but it seems almost every woman and teen owns their product. He wants to know if the run over?
Jeff Macke says stay long on the stock. There are people out there who don’t have Coach yet. In contrast, Tiffany’s (TIF) is a sell.
Susan, from Wisconsin knew from watching the show that Tim Strazzini is bullish on chips. He wants to know if that bullishness extends to computer stocks such as Hewlett-Packard (HPQ) & Dell (DELL)?
Tim Strazzini says he’s bullish on chips because of the consumer electronics space and broadly communications. PC sales will probably go into an up-cycle in the future, but thinks there will be a stable PC market for the rest of ’07. Instead, Tim recommends owning SanDisk (SNDK), Braodcom (BRCM), and Intel (INTC). They will perform better than Dell (DELL) and Hewlett-Packard (HPQ).
Kayla from Ohio says the recent contracts Boeing (BA) and Honeywell (HON) have picked up lead her to believe that these are good long-term investments. She wants to know the guys’ views on these companies as both long-term and short-term investments?
Guy Adami says Continetal Airlines (CAL) just ordered another five Boeing 787’s. He loves Boeing (BA). It’s not a fast money stock, but it will go higher. He also likes Honeywell (HON) which is up 31% since July because of home and auto exposure.