NEW YORK (TheStreet) -- Japan surprised the global equities markets Monday when it announced third-quarter GDP fell 1.6% compared to estimates looking for a gain of 2%. The country will continue to weaken its currency, warned Brian Kelly, founder of Brian Kelly Capital, on CNBC's "Fast Money" TV show.
The country will continue to buy Japanese stocks and bonds and will likely hold off on raising taxes for some time, he added. Investors should stay short the Japanese yen.
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The S&P 500, which closed flat on Monday, traded pretty well given this news, said Guy Adami, managing director of stockmonster.com. The Nikkei declined 3%, and he agreed that investors can stay short the yen.
The level of risk in the markets should certainly be elevated, according to Karen Finerman, president of Metropolitan Capital Advisors. For now, no one seems to care about this poor economic data but eventually there will be negative ramifications.
Lower oil demand is showing the global economy appears to be slowing, said Dan Nathan, co-founder and editor of riskreversal.com. Investors can buy the iShares 20+ Treasury Bond ETF (TLT) .
Japan's GDP miss was "egregiously large," said Dennis Gartman, editor and publisher of The Gartman Letter. The result will kill any speculation about a potential tax hike. Investors should buy gold in yen terms, buy Japanese stocks and sell the yen against a long position in the euro, U.S. dollar or Canadian dollar.
Facebook (FB) announced it will have a professional profile platform for its users. This is a great idea, according to Martin Pyykkonen, analyst at Rosenblatt Securities, but it won't put an end to LinkedIn (LNKD) . Two-thirds of LinkedIn's revenue are from corporations looking to recruit, and this model would be extremely difficult for Facebook to replicate.
Although LinkedIn is expensive based on valuation, Adami still likes the stock on the long side. Investors can sell short shares of Amazon (AMZN) with a "tight stop-loss."