'Fast Money' Recap: Worst Start

The stock market plunged on Friday as recession fears continue to spread on Wall Street. The market has now officially started off its worst year in history. The Dow racked up its fourth triple digit loss of the year falling 246 points and the NASDAQ closed down 48 points. The team at CNBC's "Fast Money" took a look at financial stocks, the defense sector and gave a preview of MacWorld.

Pete Najarian mentioned he used the higher volatility Friday to start buying some financial stocks. Jeff Macke declared the trend in the market is down and it's going to be harder to make money. Guy Adami thinks Friday felt like capitulation in the stock market and he wants to start playing offense next week.

Financial Sector Smackdown

Najarian explained that MasterCard(MA - Cramer's Take - Stockpickr) and Apple(AAPL - Cramer's Take - Stockpickr) were great examples of good stocks that were unjustly hit on Friday. Karen Finerman says in a market like this stay away from the mid-cap stocks and look for stocks with solid balance sheets.

Bank Of America(BAC - Cramer's Take - Stockpickr) bought distressed mortgage giant Countrywide(CFC - Cramer's Take - Stockpickr) for $4 billion. Macke thinks the move to make on financials is to sell them into the strength and buy glaring weakness. Najarian recommends buying shares in Bear Stearns(BSC - Cramer's Take - Stockpickr) and Citigroup(C - Cramer's Take - Stockpickr) and selling the out of the money calls. Finerman mentioned that she was very surprised that MBIA(MBI - Cramer's Take - Stockpickr) was able to raise $1 billion.