BALLMER TO YAHOO: I CAN’T QUIT YOU
It appears Microsoft may have its eye on Yahoo , after all. CEO Steve Ballmer reiterated his interest in landing a search deal with Yahoo during a midyear strategic update with analysts.
Yes, it seems like Ballmer wants Yahoo, says Pete Najarian. But I’m much more impressed by Apple , however I wouldn’t rush in. And in the tech space, options action in the march calls suggests Hewlett Packard stock should go higher, he adds.
I agree, echoes Guy Adami. If you’re looking for a tech trade, look at Hewlett-Packard.
GOLD FALLS AGAIN
Gold ended more than 2 percent lower Tuesday on a combination of options-related selling and profit taking triggered by comments by U.S. Federal Reserve Chairman Ben Bernanke that inflation was ebbing.
Buyers took a break after the metal's rally to an 11-month high above $1,000 an ounce last week, but some analysts say the metal should stay supported by strong investor interest.
The precious metals trade has gotten crowded. If you’re playing platinum it’s time to take profits, counsels Tim Seymour. However I’d keep an eye on Freeport McMoRan , Vale and other metals companies as investors push back into base metals.
It seems to me Freeport McMoran has a hard time getting above $31, counters Pete Najarian. I’d keep an eye on the Gold Miner ETF instead.
I think we could be looking at a double top in gold, counsels Guy Adami. I’d get out – you can always get back in later.
HOW DO WE BUILD ON THIS RALLY?
Consumer confidence plunged to another record low in February with expectations that already dire economic conditions will continue to weaken and the jobs market will further deteriorate.
What will it take to restore confidence?
FM trader Joe Terranova says consumer confidence will turn higher if our lawmakers do a better job playing their specific roles in this financial drama. Here’s how he sees the story playing out.
Role Actor Motivation
The Cheerleader Obama Consumer Confidence
The Ambassador Bernanke Market Confidence
The Risk Manager Geithner Liquidate Toxic Assets
The Justice League Congress Catch the Crooks
For more please watch the video. You can find Terranova's interview at the end of Word On The Street.