3 Stocks I Saw on TV
NEW YORK ( TheStreet) -- The markets soared Wednesday as central banks moved to ease the liquidity crisis in Europe. The Dow Jones Industrial Average jumped 490.05, or or 4.24%, to 12,045.68. The S&P 500 rose 51.77, or 4.33%, to 1245.96. The Nasdaq was up 104.83, or 4.17%, to 2620.34. Mark Fisher said on CNBC's "Fast Money" TV show that the huge rally caught a lot of traders underinvested. He said today's action could lead to a pretty significant rally to the end of the year. Dennis Gartman said it's pretty difficult to fight when all the central banks take concerted action, along with China's rate cut. Pete Najarian said that the rally slammed the VIX, which was down 9.27% for the day. For a breakout of some stocks from a recent "Fast Money" TV show, check out Dan Fitzpatrick's "3 Stocks I Saw on TV."
Joe Terranova said the central action was significant because Europe's problems became a problem for "all of us," and not just the Europeans. Stephen Weiss was a little skeptical of the rally. He said he didn't really participate in the rally, noting he was buying on dips but not getting carried away. He said today's action amounted to the "easy lifting," with the more difficult task ahead on Dec. 9, when the EU meets to try to resolve the sovereign debt issue. He said today's action helped buy time but was not the bazooka needed to deal with the massive problems. Terranova said the powerful rally will force investors to act when they didn't have to. He said money managers now have to make some allocations. Mike Khouw agreed, saying that was certainly true in the options markets, where there was above average volume in all sectors and bullish activity on average. He said the market tends to rally for several days after huge rescue efforts, and he expects that will be the case here. Jim Caron, of Morgan Stanley, said the central banks took the right course of action in providing enough funding in the short term while slowing the delevering process. He said the move is a positive for those who want to invest in risky assets, but he reminded the panel it's a short-term fix and much needs to be done to resolve the more serious sovereign debt issues.