NEW YORK (
TheStreet) -- The markets reacted to S&P's cut in the U.S. debt Monday with a crushing sell-off.
The Dow Jones Industrial Average plunged 634.76, or 5.55%, to 10,809.85. The
S&P 500 lost 72.07, or 6.00%, to 1127.37. The
Nasdaq dropped 174.72, or 6.9%, to 2357.69.
Tim Seymour said on
CNBC's "Fast Money" TV show that he had a wish list of stocks to buy but felt no need to buy them now. He said today's selloff reflected a broad lack of confidence and a belief that policy is gone.
Joe Terranova said the situation reminded him not so much of 2008 but of 1998 when there was the Russian default on short-term bonds, Long-Term Capital Management and a precipitous decline from Aug. 25 to Oct. 8. However, he said that the market wound up 38% higher at the end of the year.
For a breakout of some stocks from a recent "Fast Money" TV show, check out Dan Fitzpatrick's "3 Stocks I Saw on TV."
He said he was looking for a good inflation number from China tonight. He said it's difficult to buy anything now because the market is going down so fast under the influence of electronic trading.
Karen Finerman said she waiting for the opportunity to buy stocks like
(AAPL - Get Report)
(FRO - Get Report)
but couldn't come around to pull the trigger.
Dan Nathan said the economy and markets have been on life support since 2008 and is really dependent now on Washington to come up with something to get things going again. He said QE2 was a bust but acknowledged the need for a stimulus.
Seymour said the market's downward velocity was exaggerated by the impact of ETF flows as funds chased the tape. He said today's market convulsion was really an aftershock of the earthquake three years ago.
Jon Najarian said he is still waiting for values to come down before he could entertain the thought of buying. For example, he said he would get into Apple at $325. He said volatility was explosive. Never mind the 48 for the VIX today. He said the volatility zoomed to 100 for in- and out-of-the-money calls and puts in the S&P 500.