'Fast Money' Recap: Waiting on the Jobs Report
NEW YORK (TheStreet) -- The Dow Jones Industrial Average closed at a record high.
On CNBC's "Fast Money" TV show, Tim Seymour, managing partner of Triogem Asset Management, said Thursday's nonfarm payrolls report could create some volatility if it's below investors' expectations.
Brian Kelly, founder of Brian Kelly Capital, said Thursday -- the last trading day this week and ending at 1 p.m. EDT -- could end up being an important trading day because of the federal nonfarm payrolls report, which is being released on Thursday because of the July 4 holiday. If the result is bad, investors could start to unwind long positions.
Guy Adami, managing director of stockmonster.com, said the selloff in bonds on Wednesday is possibly suggesting that the nonfarm payrolls report will be good.Karen Finerman, president of Metropolitan Capital Advisors, says investors should not use the ADP jobs report released Wednesday as a guide to the nonfarm payrolls report. A good result will likely support equities at current levels, she reasoned. Seymour said Freeport-McMoRan (FCX), Southern Copper (SCCO) and Teck Resources (TCK) are all very cheap and starting to break out. He suggested investors get long these stocks and sell aluminum as a hedge. Adami concurred that Freeport-McMoRan appears to be breaking out. Tom Kloza, chief oil analyst at GasBuddy.com, was a guest on the show. This year's July 4 holiday gas prices will be highest since 2008, he said. However, prices should fall going into the rest of summer and decline even more sharply after Labor Day. Event risks, such as violence in the Middle East, can always give prices a jump. But without an unforeseen event popping up, gas prices should head lower as crude oil supply remains strong. Adami said Valero Energy (VLO) looks "good on the long side." He likes the risk-to-reward setup. Kelly is selling crude oil. Seymour reasoned that brent crude oil seems likely to rally and said investors should buy BP (BP), Exxon Mobil (XOM) and Total (TOT), all of which have low valuations and attractive dividends. Steve Milunovich, managing director at UBS, has a buy rating on shares of Apple (AAPL) with a $100 price target. He reasoned that the iWatch and two bigger iPhones will help drive sales. He added that investors will believe in the company's innovations again and become buyers of the stock. Despite the recent run up in share price, he says the stock will not be a "sell the news" this time because analysts estimates are still too low.
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