Trade School: Is Debt Dull? -- Guy Adami explains why a company?s debt is the foundation upon which a trade can rest. Click here for the Fast Money Trade School Lesson of the week. |
| The Fast Money five takes a look at the week's biggest market movers. | ||
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If last month's market action was a hurricane, this week was the eye of the storm...or so we thought. GE, the proud parent company of this fine network, came out and dropped a hammer on the market, posting its first decline in profits in five years and the biggest decline in its stock price since the Reagan administration. But beneath the headlines exist some very interesting questions as we head into next week's tape. Was the performance of GE's finance unit a harbinger of bad things to come for financials? We get some resolution to that question when money-center banks JP Morgan and Citigroup release results next week. Also worth watching are Wachovia and Merrill Lynch. Of particular note in the GE earnings was the fact that much of its damage came in the final weeks of March, when the financial world was in full on meltdown mode. Perhaps we are looking at a blip, or perhaps we are looking at something more serious. The Fast Money will be watching. The Fast Money will also be watching the myriad of earnings from the Tech sector as well. Starting with Intel, then IBM and Google and eBay, next week will be filled with the names you interact with and the companies investors love to trade. Google has behaved like a broken tech stock of late, experiencing the types of growth typical of a stock that trades with a stratospheric multiple and has been growing at an absurd rate. Intel should garner a close look too. Bank of America upgraded the chips this week, mostly on valuation and the belief that inventories are at a level that has historically been good for chip stocks. Also on the earnings front will be a slew of consumer names. Stocks like J&J and Coke have been safe havens for investors in these turbulent times, and there is no doubting the boost they are getting from the weak dollar and exposure abroad, but the subprime toxic slime has seemingly oozed into every corner and crevice of the American economy, and it seems only just a matter of time before we see its effect on the supposedly "safe" names. Earnings periods are one of my favorite times of year. It's when you earn your mettle as an investor. It's when money is made. It's when shows like Fast Money become required viewing. It's when open markets, more than most times, become opportunities to make serious money. I hope you join us . If you have questions about The Final Trade or suggestions for Fast Money, please send an email to FastMoney@cnbc.com |
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