'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. 

He also likes Cognizant Technology Solutions (CTSH), on which he has a buy rating with a $58 price target. Although lower health care spending has hurt business in the short term, it should rebound in 2015. He also likes Nimble Storage (NMBL), on which he has a buy rating with a $40 price target. While the stock is certainly volatile, it looks "interesting" at current levels, he concluded.

Seymour said investors can buy Nimble Storage near $30 but should sell after the stock price rises by $5 or $10. Kelly agreed with Seymour but suggested investors wait for shares of NMBL to regain a little bit of upside momentum before buying. 

Finerman says it's not quite time to sell Apple. 

Adami said VMware (VMW) could surprise investors when it reports earnings on July 22. He is looking for shares to move to the upside. 

Seymour said the airline stocks should continue to trade with higher valuations so long as margins continue to improve. Adami says investors can buy Delta Air Lines (DAL) near current levels. 

Kelly is not a buyer of airline stocks at current levels. He wants to see how they trade over the next month or so before considering a long position. 

Adami said investors can stay long Tesla Motors (TSLA) despite its ugly selloff on Wednesday. Kelly said he would avoid Tesla at current levels. Seymour found Tesla "way overvalued" and is not a buyer. 

Kelly said he is concerned with SolarCity (SCTY) over the short term because it traded relatively poorly on Wednesday following an analyst upgrade. 

Adami was a buyer of SolarCity over SunPower (SPWR). Finerman said the solar industry is driven solely by sentiment at this point. She is long SunEdison (SUNE). Seymour said SolarCity looks like it can continue higher. 

Louise Yamada, managing director of Louise Yamada Technical Research, was a guest on the show and took a technical look at the S&P 500. She called the breakout over 1,900 "impressive," and that level should act as support in the future. Her target for the S&P 500 is 1,985 to 2,000. Intel (INTC) is also breaking out. The stock consolidated for 10 years but could run to the mid- to high-$30s, from current levels.

Adami is bullish on Intel. Seymour agreed with Adami, saying that investors continue to chase large-cap technology stocks.

Shutterfly (SFLY) jumped 15% and was the first stock on the show's "Pops & Drops" segment. Kelly said investors should take profits. If investors weren't long they shouldn't buy the stock at current levels, he added. 

Gilead Sciences (GILD) climbed 2%. Adami said the stock seems like it wants to go to $100. 

GoPro (GPRO) fell 14%. Seymour said the valuation does not justify the stock's current price. 

Isle of Capri Casinos (ISLE) popped 12%. Finerman said it was because of the rumor that Global Partners (GLP) might take out ISLE. This would be "good for both of them," she reasoned. 

CNBC's Kayla Tausche said Wells Fargo (WFC) reports earnings next week with JPMorgan Chase (JPM)  reporting the following week. Investors are hoping earnings can bring some life back to the lagging financial sector, she said. Also next week, the Federal Reserve will release its consumer activity reports, where loan demand is expected to increase, which would be good for banks. 

Adami said shares of WFC are not cheap at current levels. His top pick is U.S. Bancorp (USB).

Seymour said he likes Citigroup (C) at current levels. 

Finerman is a buyer of Bank of America (BAC) as consumer spending starts to improve. The stock is also inexpensive, she reasoned. 

Kelly is a buyer of Morgan Stanley (MS) and Goldman Sachs (GS). 

Paul Ross, CEO and president of Edrington Americas, said 45% of premium spirit sales are from the U.S. While China, India and Brazil are all growing, U.S. sales will have more growth in the next five year than the rest of the world combined. As demand goes up, prices are likely to increase over the next few years, he said. 

Adami is a buyer of Diageo plc (DEO), although the valuation is a tad expensive, he admitted. 

For their final trades, Kelly is a buyer of the iShares Silver Trust ETF (SLV) and Seymour said to sell Constellation Brands (STZ). Finerman is a buyer of North Atlantic Drilling (NADL) and Adami said to buy U.S. Steel (X).


-- Written by Bret Kenwell in Petoskey, Mich.

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Bret Kenwell currently writes, blogs and also contributes to Robert Weinstein's Weekly Options Newsletter.

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