This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

'Fast Money' Recap: Stock Picking Gets Tough

Stocks in this article: MF CF HGSI AKS CFN

NEW YORK ( TheStreet) -- The markets sank Tuesday over Greece's precarious future in the eurozone.

The Dow Jones Industrial Average slid 297.05, or 2.48%, to 11,657.96. The S&P 500 fell 35.02, or 2.79%, to 1218.28. The Nasdaq dropped 77.45, or 2.89%, to 2606.96.

Pete Najarian said on CNBC's "Fast Money" TV show that the price action was "brutal" in a wild trading session that saw the volatility index climb above 37 and material names leading the slide down.

Guy Adami said he was surprised by the huge selloff, while Joe Terranova said 1183 is now the line in the sand for the market as investors search for a point of reference.

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

Karen Finerman said the market was in no man's land. She said she had her shopping list out, noting Google (GOOG) and Cummins (CMI) looked interesting.

Terranova said MF Global (MF) roiled the markets,

Lee noted that the financials were having a tough time, with the Select Sector SPDR Fund (XLF) down 5% on contagion fears.

Fred Cannon, of Keefe, Bruyette & Woods, said the U.S. financials are tied to the hip to the European financials, adding the MF Global situation only made the situation worse.

Cannon said the situation will provide ammunition for the enforcement of the Volcker Rule. He said MF Global was in a regulatory blind spot in terms of its size and broker status. He said the eurozone debt crisis will only change when banks in Europe actually raise capital.

Cannon said regional banks offer an interesting value in the otherwise hard hit sector.

Turning to the markets, Jim Bianco, of Biano Research, noted the high correlation between the S&P index and S&P stocks. He said the average S&P stock is 85% correlated to the index, a 80-year high.

He said it's very difficult to be a stock picker when government intervention overwhelms the markets. He agreed with Adami that there are exceptions to this rule such as McDonald's (MCD) which continues to trade well after hitting a 52-week high in a down tape.

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs