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Fast Money Recap, Tuesday May 12.


Intel may open higher on Wednesday's open after CEO Paul Otellini made bullish comments after hours; "Looking at order patterns, billings patterns, (outlook) is a little better than expected," he said. “This quarter is incredibly dependent on the month of June, but so far so good." Intel is a barometer for the entire tech sector; Karen Finerman's pick is Cisco. Tim Seymour would short AMD, but Pete Najarian disagrees, citing bullish action in the stock. Jared Levy of Peak6 Investments likes IBM.

Watch the S&P

The Bulls and the Bears were battling over the market on Tuesday. Jeff Macke thinks it is noteworthy that S&P 500 didn't stay under 900 for more than 90 minutes before it buoyed back. Pete Najarian says put buying kept investors from panicking. Karen Finerman thinks that after a couple of months of bullish action, she wouldn't be surprised if the S&P 500 stays put for a while.

Defense Stocks are Back: Coca-Cola (NYSE:KO), Nike (NYSE:NKE), P&G (NYSE:PG), Clorox (NYSE:CLX), Kraft (KFT), Wal-Mart (NYSE:WMT)

Financials suffered on Tuesday and were replaced with defensive names with Coke leading the group. Finerman likes defensive stocks P&G, Clorox, Kraft and Wal-Mart while Tim Seymour thinks there might be room on the upside for Nike.

Oil at a 6 Month High: Petrobras (NYSE:PBR), Coal (NYSEARCA:KOL), Alpha Natural Resources (NYSE:ANR), Foundation Coal (NYSE:FCL), Agrium (NYSE:AGU)

Oil jumped to $60.08 before dropping to $58.85, with its initial move as the biggest gain for oil in 6 months. Tim Seymour's pick is Petrobras, and Pete Najarian recommends keeping an eye on KOL after an announced merger between Alpha Natural and Foundation; he thinks there will be more M&A activity in the space. Jeff Macke would buy Agrium and hold onto it.

Merck (NYSE:MRK), Pfizer (NYSE:PFE)

Credit Suisse analyst Catherine Arnold raised her rating on Pfizer to outperform and said she thinks the company should increase the dividend soon. Shares of Pfizer as well as Merck rose on the news. Investors were moving out of financials on Tuesday and into defensive stocks and pharma.

Regional Banks Get into the Game: Key Corp (NYSE:KEY), Whitney (NASDAQ:WTNY), First Horizon (NYSE:FHN)

Key Corps is joining the ranks of financials like Capital One which are selling more stock to raise capital. Regionals are rushing to get into the game, and Sandler O’Neil regional banking analyst Kevin Fitzsimmons comments; “There’s reason to be concerned as we move along in time. It’s going to be tougher as time goes on (for banks) to get the capital they need at the price they want.” While Fitzsimmons says he doesn't have buy ratings on any banks, he indicated there might be an entry point for regional banks Whitney or First Horizon.

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Source: Fast Money Recap - What Is Intel Telling Us? (5/12/09)