'Fast Money' Recap: 2008 Outlook

(Take a look at this portfolio on Stockpickr.com Commodities 28.)

Tech Outlook 2008

Forbes Managing Editor Dennis Kneale joined the "Fast Money" crew to discuss his outlook on the technology sector for 2008. Kneale explained that technology stocks have been under some pressure recently because investors think that problems with the financials will lead to less spending on tech. He went on to explain that financial companies have to spend money on technology for traders, so those worries aren't warranted. He thinks the first half of 2008 will be slow, but he thinks the developing markets will help to make tech strong in the second half.

Najarian believes big cap tech like Google(GOOG Quote) and Apple(AAPL Quote) will drive tech in 2008. He warned investors to stay away from chip stocks. Finerman mentioned she likes Microsoft(MSFT Quote) and she is long MSFT options. Seymour recommended Taiwan Semiconductor(TSM Quote), Lenovo(LNGVY Quote) and Satyam Computers(SAY Quote). Macke thinks the best tech stock for 2008 will be Microsoft and Najarian thinks it will be Apple.

Word on the Street

Circuit City(CC Quote) fell 30% after the retailer reported a wider-than-expected loss for the third-quarter. Macke explained that Best Buy is killing Circuit City and if it continues they won't be in business much longer.

Philips Electronics(PHG Quote) buys out Respironics(RESP Quote) for $5.1 billion. Najarian thinks that everybody should be looking at PHG for 2008 because of the direction the company is going in. Finerman mentioned that private equity could start putting money in the beaten up brokerages. According to Seymour, the deal flow is alive and well in the emerging markets.