Volatility returned Wednesday with the Dow dropping 177 points after having climbed nearly 100 points on Tuesday, and the crew of CNBC's "Fast Money" provided their near-term predictions for the market.

Pete Najarian says volatility likely will be with us for a while. Karen Finerman believes the market has another drop to come, so be very defensive right now.

The crew also gave their quick take on the headline stocks of the day.

Word on the Street

Cisco

(CSCO) - Get Report

CEO John Chambers reaffirmed the company's guidance Wednesday. Najarian says Cisco is a play on the global economy, along with

Hewlett-Packard

(HPQ) - Get Report

,

Dell

(DELL) - Get Report

,

Juniper Networks

(JNPR) - Get Report

and

IBM

(IBM) - Get Report

.

Retail sales are off to a bad start as

Costco

(COST) - Get Report

delivered disappointing numbers. Jeff Macke would be a buyer of Costco on weakness. Finerman advises letting the stock come down more before buying.

J. Crew

( JCG) fell hard after hours on weak revenue. Finerman said she'd be a buyer of J. Crew.

Apple

( KFT) pulled back from near-record prices after the company announced plans to cut the price of its iPhone. Najarian says he'd buy the stock into the news. Adami doesn't like the stock here and Macke agreed. (

RealMoney

Take: Tero Kuittinen said recently, "How unusual is Apple's decision to cut the price of the 8 GB iPhone by $200 to $400?" To read more on what Kuittinen said,

click here

.)

Kraft

( KFT) traded higher on Wednesday after raising forecasts. Finnerman and Najarian both like the stock and expect it will continue to rise.

Najarian is spotting unusual options activity in

ImClone

(IMCL)

. He is seeing large buying of call options and he believes the stock will climb much higher.

Smith & Wesson

(SWHC)

will report earnings after the bell tomorrow. Adami warned not to chase this stock here even though he likes the name.

Rail stocks continued to fall despite some positive M&A news in the sector. Adami believes that Warren Buffett might raise his stake in

Burlington Northern

( BNI) to 25%. He would be a buyer of the railroad stock with a stop below $80.

New York City cab drivers are protesting an order to install credit-card readers and global-positioning system (GPS) devices in cabs. Najarian likes

Garmin

(GRMN) - Get Report

,

Navteq

(NVT) - Get Report

and

Research In Motion

( RIMM) off this news.

Rate Cut?

Many investors and traders are speculating that

Fed

Chairman Ben Bernanke will cut interest rates at the Federal Reserve's next meeting on Sept. 18. Will a rate cut mean that the economy is weak and actually hurt the bulls?

Macke believes a Fed rate cut will not solve the credit problem. Adami says the less we see from the Fed the better for the markets.

Pharma Plays

Technology has been the recent safe haven in the stock market, but another sector is emerging as a possible safe haven, Big Pharma. Najarian recommends

Merck

(MRK) - Get Report

,

Bristol Myers

(BMY) - Get Report

and

Eli Lilly

(LLY) - Get Report

.

TheStreet Recommends

Najarian also believes that

Amgen

(AMGN) - Get Report

,

Genentech

( DNA),

Biogen

(BIIB) - Get Report

and

Amylin

( AMLN) are all getting ready to take off. (

RealMoney

Take: Adam Feuerstein recently said, "There has been quite a buzz about Carl Icahn's interest in Biogen Idec. The financier received FTC clearance last week to buy more stock in the biotech firm. This has led to speculation that Icahn will try to push Biogen Idec into accepting some buyout offer. Biogen Idec shares are trading near their 52-week high as a result." To read more on what Feuerstein said,

click here

.)

Global Growth

"Fast Money" has delivered viewers a host of global growth picks, but Karen Finerman believes she's discovered a new one that few investors know about in terms of its global presence. Her pick is

Estee Lauder

(EL) - Get Report

because the cosmetics company has a 52% exposure to Asia.

Bear Week With Dennis Gartman

Dennis Gartman, publisher of the

Gartman Letter

, joined the crew Wednesday to discuss his bearish take on the markets. Gartman is very concerned about the resets on a large number of mortgages that won't occur until next January or February. He believes that this will put

Countrywide Financial

( CFC) in a very tough position and the stock could have more room to fall even from current depressed levels.

Gartman advises shorting

Wachovia

(WB) - Get Report

or almost any of the financials. The trend is clearly down for this group and the charts all look the same, he says. (

RealMoney

Take: Jim Cramer recently said, "Frankly, we need another Countrywide, another something that is just about to go bust, to put the fear right in the faces of the Fed and show that the weaknesses in the system are not abstract." To read more on what Cramer said,

click here

.)

Final Trade

The show's members offered one trade each in this rapid-fire segment:

(

RealMoney

Take: Garry Morrow said recently, "Nokia is up another 2.5% today as it pushes further into new high ground for the year. Last Wednesday the stock gapped higher on the open, taking out its previous yearly highs in the process." To read more on what Morrow said,

click here

.)

Pops & Drops

Pops --

Sirius

(SIRI) - Get Report

traded up 4% on positive merger news. Macke advises buying Sirius but not chasing it.

Forest Labs

(FRX)

popped up 10% on a favorable court ruling for a top depression drug. Najarian likes the stock.

Drops --

Citigroup

(C) - Get Report

fell 3% on news the company might have exposure to off the books pools of commercial paper. Finerman believes more bad news is coming for Citigroup.

Crocs

(CROX) - Get Report

dropped 6%. Adami still likes Crocs even after this drop. (

RealMoney

Take: Dan Fitzpatrick said recently, "CROX is dealing with $60. I'd be a buyer on any move above resistance." To read more on what Fitzpatrick said,

click here.

)

KB Home

(KBH) - Get Report

fell 5%.

Tyson Foods

(TSN) - Get Report

fell 13%. Finerman say something doesn't smell right at TSN.

Warner Music Group

( WMG) dropped 5% after Doug Kass said he was shorting the stock. Finerman says stay away.

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