Now What?

What's the outlook for commodities and stocks in China now that the torch is out?

In the two years prior to the Beijing Olympics the iShares FTSE/Xinhua China 25 Index was up 66%. Will the infrastructure boom in China continue to drive its market?


Market Performance 4 Years After Hosting Olympics

Country: Benchmark Index

USA + 123%
Australia + 10%
Greece + 112%


I’m bullish on the FXI, says Jon Najarian. I think the infrastructure trade is still in play. There are 200 cities of over 1 million people in China. Infrastructure should be a gold mine.

If you believe in the story and that China is going to push the "restart button" then look at the dry shippers, counsels Joe Terranova. Check out Excel Maritime and Genco .

If you want to play China I think the best way to do it, is through multi-nationals, counsels Guy Adami. Personally, I’d only do it with Yum Brands.

As you might remember we posed this same question on Friday when technical analyst Quint Tatro and president of River Twice Research Zach Karabell were on the panel.

-------------(scroll down to see what they said )-------------

“When I look at the iShares FTSE/Xinhua China 25 Index I noticed that the chart was putting in a double bottom which is a very bullish technical sign,” replied Tatro. I find the risk / reward very appealing.”

“On the fundamental side it looks like we’re in early earnings of an incredible story,” Zach Karabell added. “It’s a great reason to be long term bullish commodities.”

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Trader disclosure: On Aug 25, 2008, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Adami Owns (AGU), (BTU), (C), (GS), (INTC), (MSFT), (NUE); Pete Najarian Owns (CSCO) Call Spread, (RIMM) Call Spread, (TIE) Call Spread; Pete Najarian Owns (AAPL) And Is Short (AAPL) Calls; Pete Najarian Owns (XLF) And (XLF) Puts And Is Short (XLF) Calls; Pete Najarian Owns (LEH) Put Spread; Pete Najarian Owns (MS) And Is Short (MS) Calls; Jon Najarian Owns (AAPL), (C), (RMBS); Jon Najarian Owns (TIE) Calls; Jon Najarian Owns (BRCM) Call Spread; Jon Najarian Owns (LEH) Put Spreads, (STI) Put Spreads; Terranova Owns (YHOO), (AAPL), (RIMM), (SA), (VLO), (EOG), (NOV), (POT), (X), (KOL), (GS), (FCX); Terranova Owns (AIG) Puts

Terranova Is Chief Alternatives Strategist Of Phoenix Investment Partners, Ltd.; Phoenix Investment Partners Owns More Than 1% Of (ABD), (ARE), (BRE), (CNTY), (CLB), (OFC), (DLR), (ESS), (EXR), (FL), (IAT), (IGE), (LNET), (MAC), (OIIM), (PSPT), (DBC), (DBV), (SLB), (SKT), (BLV)

Terranova Is Co-Portfolio Manager Of The Phoenix Diversifier PHOLIO: Phoenix Diversifier PHOLIO Owns (IGE), (DBC), (DBV)

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