'Fast Money' Recap: Reversal
The market experienced a nasty reversal on Thursday after trading to record highs earlier in the day. The panel at CNBC's" Fast Money" dissected the change of heart in the market for investors.
According to Pete Najarian, the market reversal was caused by a JPMorgan analyst who lowered his estimates on Baidu.com (BIDU). Jeff Macke disagreed with Pete and doesn't think the Baidu downgrade meant anything; it just gave traders an excuse to sell. Furthermore, he suggests the selling will continue on Friday.
Karen Finerman found the reversal was interesting and like Macke expects a lot more to go. Guy Adami tells investors to take profits on EMC (EMC) and VMWare (VMW) after volume suggested to him a move lower is in the cards. Investors can buy these back cheaper after they come in.
Gasparino and CitiCitigroup (C) is set to report earnings on Monday. CNBC's Charlie Gasparino joined the "Fast Money" crew to discuss his take on Citigroup. Gasparino comments that a lot of traders think that CEO Chuck Prince is about to resign from Citi. With the stock trading up, Adami recommends investors get long Citi here before Prince goes with a stop at $45. In Najarian's opinion, the trade in Citi is to buy the stock, buy the $47.50 put option and sell the December $55 call. On the other side, Macke is bearish on Citigroup and he doesn't think Prince is going to leave.
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