NEW YORK (TheStreet) -- The S&P 500 closed near session lows as the government shutdown continues to weigh on equities.
The financial sector was the topic of discussion on CNBC's "Fast Money" TV show. Pete Najarian said that after a slightly deeper pullback, a lot of stocks will become attractive. Specifically, he likes Blackstone Group (BX) and also J.P. Morgan (JPM) below $50.
Karen Finerman said the legal issues surrounding J.P. Morgan have weighed on the stock, but any resolution will likely be positive.
Guy Adami also likes Blackstone Group, which reports Oct. 17, and the valuation is reasonable.Steve Grasso likes Bank of America (BAC) because it has support near the 100-day moving average and investors have put its negative housing data in the past. Andres Garcia-Amaya, global market strategist at J.P. Morgan, was a guest on the show and said a pullback in financials presents a good buy for long-term investors. He likes industrials and is bullish on the U.S. dollar. Najarian said he was long National Bank of Greece (NBG), citing upside potential in 2014 and strong call buying in the options. Goldman Sachs downgraded Toll Brothers (TOL) and upgraded Realogy Holdings (RLGY). Adami said that Toll Brothers has an attractive entry, with the stock holding support near $30. Finerman continues to like Realogy Holdings, which is much more levered toward housing prices. Adami said ConocoPhillips (COP) has quietly been making its way higher, hitting new 52-week highs on Monday and still looks attractive. Grasso added that refiners should continue to benefit from falling crude oil prices. Paul Hickey, co-founder of Bespoke Investment Group, was a guest on the show and said Netflix (NFLX) is one of the most volatile stocks around earnings. He also said investors should be cautious on First Solar (FSLR) and Green Mountain Coffee Roasters (GMCR). Grasso said Monday's pullback in Deckers Outdoor (DECK) is giving investors a good opportunity to get into the stock before the winter season. Northrop Grumman (NOC) was the first stock on the show's "Pops & Drops" segment. Adami said it's still a buy, along with Lockheed Martin (LMT). Intuitive Surgical (ISRG) jumped 4%. Najarian said the company has had some publicity issues, but likes it around these levels.
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