×

Biggest 2-Day Gain In 4 Years

graphic_word_ofthe_street.jpg

BIGGEST 2-DAY GAIN IN 4 YEARS:

The headline: Investors, Still Giddy From Rate Cut, Send S&P 500 Up 3.5% Over Past 2 Days

The Dow jumped 76 points Wednesday says Dylan Ratigan. Then he shows the panel a chart from Birinyi which suggests the S&P gains 6.4% a year after The Fed starts cutting rates.

Jeff Macke reminds the panel that it’s an options expiration week.

Guy Adami adds that Friday could be a funky day because of those expirations.

Pete Najarian explains that volatility is back to “normal” levels.

Symbol
Price
 
Change
%Change
S&P 500
---


PUMP UP THE VOLUME:

The headline: TD Ameritrade (AMTD) Reports Stronger-Than-Expected August Daily Volume

Pete Najarian likes the online brokers. He adds that E*Trade (ETFC) reported an increase in client assets in August. His trade is buying NASDAQ (NDAQ) stock on all this increased volume.

Karen Finerman agrees.

Symbol
Price
 
Change
%Change
BGES
---
ETFC
---
NDAQ
---

PLAYING THE YIELD:

The headline: What's The Best Way To Trade A Steepening Yield Curve?

Dylan Ratigan explains that small-cap banks should benefit from lower short-term rates according to Lehman.

Jeff Macke says the play is Twin City Federal (TCB).

On a related note Dylan explains that although Accredited Home Lenders (LEND) was dragged down by the credit crunch, it was able to reach a new deal with Lone Star.

Karen Finerman says her trade is Genesco (GCO) because much like LEND, it’s nearly impossible to get out of deals.

Symbol
Price
 
Change
%Change
WISTREE COMCUR
---
TCF
---

A BARREL FULL OF RECORDS:

The headline: Oil Closes At $81.93, 3rd Record Close In A Row, On Supply Concerns

Dylan Ratigan reminds the traders that oil has surged 18% over the last 19 days.

Guy Adami tells the panel that the threat of a conflict with Iran is pushing oil higher.

Dylan Ratigan tells Adami that’s nonsense.

Jeff Macke believes oil’s surge has more to do with massive rate cuts and the dropping dollars.

Symbol
Price
 
Change
%Change
OIH
---

BLAME CANADA:

The headline: Suncor Energy (SU) Tumbles On Threat Of Higher Taxes For Canadian Oil Sands Producers

Dylan Ratigan explains that on Tuesday’s show strategic investor Dennis Gartman recommended Suncor Energy

On Wednesday Gartman told us, I'm getting out of Canadian Athabasca (anything linked to Canadian Tar Sands), then I’m moving to the big multi-nationals here in the US… ConocoPhillips (COP) comes quickly to mind. The trend in both gold and oil remains upward; weakness is to be bought rather than strength sold."

Jeff Macke recommends buying Boardwalk REIT (BOWFF) as a play on growth in Calgary.

Symbol
Price
 
Change
%Change
COP
---
SU
---

PILLSBURY DOUGHBOY UNAMUSED:

The headline: General Mills (GIS) Flat After Reporting 8% Profit Rise, Reaffirming Guidance

Although the cost of wheat has moved higher, Jeff Macke feels that GIS has hedged its costs well. His related plays are Kellogg's (K), Kraft (KFT) and Safeway (SWY) because Macke feels people are unlikely to buy less food.

Symbol
Price
 
Change
%Change
534388
---
K
---
MDLZ
---
SWY
---

TAKE YOUR POSITION: ORACLE:

The headline: Oracle (ORCL) Hits 52-Week High Before Earnings Tomorrow After The Bell

Pete Najarian calls this stock a sleeper.

Symbol
Price
 
Change
%Change
ORCL
---

GOOGLE'S UNFRUGAL RIVAL:

The headline: Yahoo's (YHOO) $350M Zimbra Deal This Week Is Latest In A Buying Binge

Jeff Macke recommends getting long YHOO on the company’s recent acquisitions.

Symbol
Price
 
Change
%Change
AABA
---

OPTIONS ACTION: CREE

The headline: Najarian Seeing Unusual Options Activity In Chip Equipment Maker Cree (CREE).

Pete Najarian explains that Cree makes light omitting diodes. He says the options action suggests to him there will be a big move in this stock in the next couple days.

Symbol
Price
 
Change
%Change
CREE
---

______________________________________________________
Got something to say? Send us an e-mail at fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap! Prefer to keep it between us? You can still send questions and comments to fastmoney@cnbc.com.

Trader disclosure: On Sept. 19, 2007, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Macke Owns (SWY); Najarian Is Short (ETFC); Najarian Owns (GS) Options; Finerman's Firm Owns (BWS), (COP), (GCO), (NMX), (LTD); Finerman's Firm Owns S&P 500 Puts And Calls; Finerman's Firm Owns Russell 2000 Puts