Strategy Session with the Fast Money traders
I’m long Bank of America, says Karen Finerman and I’m looking to buy more, but lower. And I’m also long JPMorgan calls.
I’m bullish JPMorgan and a buyer ahead of earnings, says Joe Terranova. I think the stock goes north of $50.
A lot of investors are like Joe; they’re bullish JPMorgan, muses Guy Adami. However, I think this bank may surprise to the downside.
I think the stock that looks most interesting in the space is Goldman, adds Tim Seymour.
DEVELOPING STORY: CALL GOOGLE’S BLUFF OR BUY ‘BING’?
Investors kept a close eye on Internet stocks after Google threatened to withdraw from China because of censorship and cyber attacks.
According to published reports, large-scale cyber attacks “have been under way for weeks with the attackers accessing the Gmail accounts of Chinese human-rights activists.
On the news, shares of rival Baidu soared.
However it appears Wall Street isn’t convinced that Google is ready to pull the plug. In fact analysts are all over the map. Take a look
Likelihood Of Google China Exit
-Piper Jaffray: Only 35% Chance
-Broadpoint: Highly Likely
-UBS: Very Likely
What’s the trade?
I shorted Baidu on the news, reveals Tim Seymour. I thought the move higher was overdone. But it was a short-term trade; I’ve already covered. Personally, I don’t believe Google is leaving China. It’s much more bark than bite.
As a shareholder I don’t like the news but I agree that Google isn’t going to leave China, adds Karen Finerman.
Elsewhere in tech, I’d put RIM on the radar, says Guy Adami. If I were short RIM, I’d buy here to cover.
TAKE YOUR POSITION: IS IT ALL PRICED INSIDE?
Intel staged a bullish reversal ahead of its quarterly report on Thursday, the beginning of technology earnings season.
The chip maker is widely expected to benefit from renewed spending by corporations on PC upgrades, however some investors worry about a potential, short-lived correction in semiconductor stocks.
Intel is closely watched because its chips are found in everything from personal computers to smartphones and its results are used as a barometer for the health of the overall tech sector.
What’s the trade?
I’m bullish on Intel, reveals Joe Terranova. And in the space I also like Qualcomm and Microsoft, he adds. And I'm long EMC .
I’m long Intel but I’m not adding to my position ahead of earnings, says Tim Seymour. However, at 11 times next year’s earnings I think it’s cheap.
Intel keeps having trouble at $21, reminds Guy Adami. I’m skeptical on Intel because so many stocks in the space have made new 52-week highs, but this one has not.
TRADE AGAINST SENTIMENT AND GET LONG TREASURIES?
According to a new survey, investors are more bearish on Treasurys now than anytime in the past two years. So – should you turn bullish?
Bloomberg says investors widely expect yields will rise for a second consecutive year as U.S. debt sales climb above $2 trillion and the Federal Reserve unwinds stimulus programs. (Remember yields and price are inversely related.)
Their survey also shows sentiment is also the most pessimistic on record for the U.K., Spain and Switzerland, where governments also enacted measures to support their economies
So – with so much negative sentiment in the bond market -- should you turn bullish? Sounds counter-intuitive but Steve Cortes likes the contrarian play.
Hear more. Watch the video now!