'Fast Money' Recap: Market Breakthrough?

NEW YORK (TheStreet) -- The markets finished the week strong on a better-than-expected jobless report.

The Dow Jones Industrial Average jumped 127.83, or 1.24%, to 10,447.93 and the S&P 500 gained 14.41, or 1.32%, to 1,104.51. The Nasdaq rose 33.74, or 1.53%, to 2,233.075.o

Guy Adami, who's been bearish, acknowledged the "powerful rally" on CNBC's "Fast Money" show. "The market just wanted to go up this week."

Joe Terranova said the big question for investors is whether they are going to reallocate from Treasuries to equities as the chances diminish for a double-dip recession.

For a breakout of some stocks from a recent "Fast Money" TV show, check out Dan Fitzpatrick's "3 Stocks I Saw on TV."

3 Stocks I Saw on TV

Steve Grasso said the market has been moving within a trading range and won't really break through until it rises above the 100-day moving average at 1,107 on the S&P.

Scott Nations also cautioned that the rally felt like a bounce from oversold conditions.

Joe Lavorgna, an economist for Deutsche Bank, said today's jobless report should dispel the notion of a double-dip recession, although he said the debate continues on the speed of the recovery.

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Simon Hobbs, the moderator of the show, noted that Goldman Sachs(GS) was up 5.45% on reports of its plans to break up its proprietary trading unit.

Adami didn't believe it was a big move, saying the prop unit is not as important as it was a decade ago. Nations said Goldman remains a cheap stock on a P/E basis, while Terranova said he added to his Goldman position today, adding it's never been cheaper.

Lee brought in Stephen Weiss, a senior managing director for Short Hill Capital Partners, who noted the widening gap between the yield on the 10-year Treasury note and the S&P.

He said the reallocation from bonds to equities is going on and that investors who purchased bonds don't realize the principal risk as they head to the exits.

In the commodities space, Terranova said copper remains resilient, adding the high price of the metal shows that double-dip pessimism isn't warranted.

Furthermore, he said the continued weakness of the U.S. dollar will be good news for the machinery names like Bucyrus(BUCY) and the ag trade.

Weiss said a beneficiary of the commodities trade has been rail stocks, and he recommended Union Pacific(UNP) and CSX(CSX).