No. 3 - Is Energy's Monster Run Over?

Crude oil fell below $70 a barrel Tuesday, down 12% since its record price of nearly $79 per barrel this month. Is the run in energy stocks over?

Pete Najarian sees a lot of put buying in the Energy SPDR (XLE), which makes him think oil is going even further south. ExxonMobil (XOM) is probably going lower too, he says. Oil getting cheaper means the airlines will get a perhaps much-needed break. The entire airline complex skyrocketed Tuesday as oil dropped below $70.

The industry dodged a bullet with Hurricane Dean, but as soon as there’s another major weather event in the Gulf, the price of crude could go right back up to $80, Guy Adami says. He would buy Exxon on this dip as well as Holly Corp. (HOC), which is looking to increase its refinery capacity by 19% by 2009.

Constance Hunter has her eye on a small, Kazakhstan oil company called BMB Munai (KAZ). The company just did a deal with China to export more oil and it’s extremely cheap, she says.

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Trader disclosure: On Aug 21 2007, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money; Macke Owns (INTC), (ATVI), (EMC); Najarian Owns S&P Puts; Constance Hunter Is The Founder And Owner Of Coronat Capital Management; Coronat Capital Management Owns (INFY),(H&M), (USO); Coronat Capital Management Owns Yen; Coronat Capital Management Owns VIX Options; Coronat Capital Management Is Short (FXI); Coronat Capital Management Is Short (EWH) But Owns Local-Listed Hong Kong Shares