Stocks Slide In Final Minutes

The Dow fell in the last minutes of trading despite a Federal Reserve rate cut and signs that government efforts to shore up credit markets are starting to work.

In the final minutes erroneous reports about GE’s 2009 profit forecast surfaced they they're widely believed to be the cause of the late day sell-off. However, the information was not accurate. (Click here to read the truth behind the market rumors.)

BANK OF THE WORLD?

The Federal Reserve cut its benchmark interest rates by a half-percentage point on Wednesday to try to stave off a prolonged recession, and left the door open to further reductions if needed.

However another initiative made by the Fed could have as much impact on the global economy but didn’t receive nearly the same coverage.

Shortly after announcing its rate cut decision, the Fed said it had had approved currency swap lines with Brazil, Mexico, South Korea and Singapore to ensure central banks in those countries had U.S. dollars to provide.

Strategy Session with the Fast Money Traders

I think this is very positive, says Tim Seymour. I’d look at the iShares MSCI Brazil Index. It should pop higher because this Fed move should bring huge relief.

I really like what I’m seeing, says Pete Najarian. Look at the coal, steel and ag names. Their earnings are on fire. I think they could be forming a base. I jumped into Petrobras on Wednesday because I think it’s been oversold. I wanted to get exposure to Brazil and that’s how I did it.

You must be insane to play the emerging markets in this environment, counters Jeff Macke. If you want to play with the government I’d look at General Motors .

I think the emerging markets are a good place to find growth, adds Tim Seymour. The central bank of China also cut rates in an attempt to stimulate the region and that should be bullish for commodities.

If you want to trade along side the federal government I’d look at banks, adds Guy Adami. I like US Bancorp , Wells Fargo and JP Morgan . And I expect the Dow to stay in the 7800 to 9500 range. Considering where the Dow closed, now is the time to take money off the table.

--------------------

OIL JUMPS ALMOST 8%

Oil ended substantially higher on Wednesday. The move coincides with the Fed rate cut and the dollar’s biggest one-day decline in 13 years.

Meanwhile, oil companies PetroChina , Suncor Energy and Hess Corp recorded higher quarterly earnings on Wednesday, but Hess joined the growing list of producers to cut its planned spending in the wake of the selloff in oil prices.

I don’t think there are enough players in commodities, counsels Guy Adami. I wouldn’t get in before the new year.

Be careful of the Oil Services HLDRs , says Pete Najarian. I think it’s getting 'bought early'.

INSTANT REPLAY: MICROSOFT

One stock that caught Pete Najarian's eye on Wednesday was Microsoft . he got in late morning after he saw a massive amount of upside calls being purchased by institutional investors. They were speculating a move higher in the stock. He says it gave him an opportunity to buy stock and sell upside calls trying to use volatility as a catalyst.

______________________________________________________
Got something to to say? Send us an e-mail at [e-mail] and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment but not have it published on our website send those e-mails to [e-mail].

Trader disclosure: On Oct.29 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); Macke Owns (MSFT), (WMT), (MCD), (SDS), (UUP); Najarian Owns (BNI) Put Spread; Najarian Owns (INTC) And Is Short (INTC) Calls; Najarian Owns (MS) And Is Short (MS) Calls; Najarian Owns (PBR); Najarian Owns (MSFT) And Is Short (MSFT) Calls; Seymour Owns (AAPL), (BAC), (F), (MER)

GE Is The Parent Company Of CNBC

CNBC.com with wires