NEW YORK (TheStreet) -- The S&P 500 took a big hit on Thursday, closing 1.20% lower.
On CNBC's "Fast Money" TV show, Steve Grasso, director of institutional sales at Stuart Frankel, said the selloff seems mostly tied to worries over the Chinese economy. He added that the tension in Ukraine would eventually pass, providing investors a solid buying opportunity.
Pete Najarian, co-founder of optionmonster.com and trademonster.com, said energy stocks and financial stocks held up well on Thursday. He pointed out the elevated levels in the CBOE Volatility Index (VIX.X), but ultimately agreed with Grasso that the current geopolitical issues will be a buying opportunity for U.S. investors.
Karen Finerman, president of Metropolitan Capital Advisors, said the selloff seemed very "orderly" and not "panicky," which is good. She is a buyer of United Rentals (URI).
Guy Adami, managing director of stockmonster.com, said the 10-year Treasury yield could go much lower if it breaks through the 2.6% level, which has acted as support.
Grasso said investors will look for yield in the stock market if a selloff ensues -- meaning uitilities would hold up well. He is long Southern Co. (SO).
Adami said the Ukraine issues will likely be resolved, but not before getting worse in the short term. If this is true, it will likely weigh on U.S. stocks. He added that China's growth is likely closer to 6% than 7.5%.
Najarian is long Pepsico (PEP) and believes activist investor Nelson Peltz is correct in looking to split the company's beverage business and snacks business to create shareholder value. Grasso said shares of Pepsico have been doing well and look more attractive than Coca-Cola (KO), which is down about 8% in 2014.
Najarian said he wanted to be long NCR Corp. (NCR), but couldn't get his order filled. He pointed out the bullish options activity where the January $40/$45 bull call spread traded 10,000 times.
Mark Mclaughlin, chairman and CEO of Palo Alto Networks (PANW), was a guest on the show. Regarding another lawsuit with Juniper Networks (JNPR), he said he is confident that his company did not infringe on Juniper's firewall patent. He added that the cyber-security business should continue to do well and so will his business.