The markets rebounded Monday on a boost from the financial sector.
The Dow Jones Industrial Average jumped 185.16, or 2.3%, to 8,321.85, while the S&P 500 added 21.92, or 2.5%, to 901.95. The Nasdaq rose 37.18, or 2.1%, to 1,793.21.
Pete Najarian said on CNBC's "Fast Money" TV show, that the markets snapped back on the strength of the financials, in particular Meredith Whitney's bullish outlook for Goldman Sachs (GS) and to a certain extent, technology.
Karen Fineman, though, downplayed today's action, saying it was more of a bounce without much direction and volume.Guy Adami agreed with Whitney's call on Goldman but wonders whether the company can follow through. Finerman said Bank of America (BAC) may see significant headwinds in the future because of its exposure to consumers. Both Najarian and Tim Seymour said Morgan Stanley (MS), whom Seymour called "Goldman lite," is relatively cheap and could pull off an earnings surprise. Adami said Whitney's call could lead to a huge volume day for Goldman on Tuesday, a reversal to the downside and a testing of the S&P at 870. "That could be scary," he said. Moving on to the earnings of Dell (DELL), Lee said the PC maker said it expected slight sequent revenue growth in the second quarter and reported a decline in gross margins and customers deferring purchases. Finerman said the deferring of consumer purchases was "not good news." She said that message doesn't bode well for Hewlett-Packard (HP) and Intel (INTC). "This is more indication that these green shoots are not so green," she said.
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