'Fast Money' Recap: Holding Pattern

Also, Tilson mentioned that Freddie Mac(FRE Quote) could be a great buy here. However, Najarian likes Fannie Mae(FNM Quote) better then FRE. Instead of FRE, Adami likes Ameriprise Financial(AMP Quote) and feels the stock has been sold off unjustly with the rest of the financial sector.

Tilson disclosed that he is short both MBIA(MBI Quote) and Ambac Financial(ABK Quote) and he predicts both will go to zero.

Morgan Stanley(MS Quote) Co-President Zoe Cruz announced she will step down from the investment bank. Finerman is curious as to why she would leave, because Cruz was one of the highest ranking women on Wall Street. She thinks that Cruz is too young to just retire. Seymour thinks this is a sign of the times, while Adami says his sense is that Cruz was asked to leave.

Hedge Fund Citadel Investment Group announces an 18% stake in E*TRADE(ETFC Quote). Najarian bought stock in ETFC on Thursday. Adami thinks just for a trade ETFC might be worth a shot here.

(Check out a professional portfolio focused on financial stocks at Stockpickr.com Vanguard Financials Index.)

Time to Shop

Sears Holdings(SHLD Quote) falls 10% after the retailer reported a 99% drop in profits as sales declined and margins plummeted. Seymour thinks the Sears story looks very interesting at these levels with a couple of Wall Street whales long the stock. Adami cautions not to bet against Eddie Lampert. He has zero leverage and plenty of cash on the balance sheet. Najarian pointed out that SHLD has been trading with the decline in real estate.