First, we start off with what should have been a huge day for the markets, up or down. Weve got tens of billions of dollars of baker hughes and ge, century link and oil sinking, its worst day in more than a month. None seemed to matter because of one thing. The u. S. Election. The polls are tightening as we head into the final week of campaigning. So with everything seemingly on hold, we ask, no matter who ends up in the white house, what should you be buying this week . What are your win win bipartisan election trades . Buypartisan. Buy, pete. My list would be whats been performing most recently and thats going to be technology and financials. If the financials are doing well underneath the circumstances that we have in the last six or eight months or so, with no change in the interest rates, and they continue to show some strong results, like they did this past quarter, i have to stick with the financials. I like where theyre going. When you look from a valuation perspective or book value, citi, bank of america, jpmorgan, wells fargo, gets more and more interesting. Im not ready to jump in there yet. But a u. S. Bank, some of the other big regionals. That area, as well as when i look at technology, mel, specifically looking towards the chips. And i look through this earnings season so far, about 58 of earnings season so far of the s p 500. You look at the chip stocks. For the most part, other than intel missing on the data center, im looking at a lot of names doing very, very well. And Applied Materials today, huge paper in there, tells me thats not over. I think we could see an extension of that, as well. Grasso . Im going to youre not supposed to do this. Im going to push back on his financials. I think you would have to youre going to have major headwinds with regulatory issues. Dont we already have those . Youre going to have even more. Youre going to have hillary who pushed more left than she is with Elizabeth Warren and donald trump probably still on the same side. Negative for banks, as well. I went with united rentals. Both candidates are actually going to push some sort of a stimulus plan. Infrastructure. Infrastructure. Everyone talks about it. Frusk. Theyre going to build, the roads are a mess. United rentals. I think that one could still move higher. Whats the bigger driver for financials . Rising interest rates, probably what we would have under either administration for a stronger Regulatory Environment . Stronger Regulatory Environment. Thats the bigger driver. Even if the fed decides in december where theyre going to raise rates, we are so far from a ratehiking cycle. We were supposed to have four rate hikes by now. We have one, maybe oneandahalf, at this point in time. So i dont think were anywhere close to have a rate hiking cycle. I agree with grasso. Stay away from the financials, theres just too much risk there. Burn. Yeah. Im feeling you guys. I dont mind being on the other side of the trade. Go. I think its going to break out. I say take some to the bank. I dont think it works after the election. Dont you think its worth stating, though, that ms. Clinton, obviously one of the biggest criticisms shes gotten from the opponent, shes a friend of the banks. So i dont see Elizabeth Warren doing a heck of a lot of damage. Listen to you. What about Bernie Sanders constituents . I hear you. In 17, these guys are out. I hear you. I dont think shes a real democrat. And the other thing im going to tell you right now, i think no matter what happens, i think large cap phrma and biotech stocks go up. They have been so beaten up are going to go up. So to you. Lets say a clinton victory. Yeah. I think it could be messy for a little bit. And then i think this is going to set up pfizer and saw big paper in there today. Giddyup. Do you think america is going to let her get away whats the thesis . Dan. Whats the thesis . Listen, the thesis is pretty simple. Theres a lot of bad news in the stocks. And if you look at the dogs of the dow sort of situation, look at some of the yields, and how bristol has been beaten up. Look at pfizer. I think youre probably going to see some combinations in 2017. People get bullish into the year, into the start of the year. And then look at the xpi, the biotech business, gone from 70 to 56 in the last month and a half or so. And i think that thing pops too. You know, i have to say, were hearing on all those Conference Calls talk about drug pricing pressures. We heard from the group on friday and today cardinal health. Maybe were at a point where everybody is already assuming. Maybe. Its built in. Thats cant be built in. Its the only issue. Only pushback i have for dan, its the only issue bipartisan. Theres only one issue in this whole election cycle that both candidates agree on. Its biotech pricing. Phrma pricing. Health care pricing. Its i say its health care, biotech gouging. I dont think its necessarily pricing. How do they know . Because when you start looking beneath and say where they really want to attack, they want to seem to go after the folks and makes some sense. The very unique drugs that have an incredibly high price did they against the other ones, though . The whole sector got sold off. I think the opportunity is merck is getting sold off for the wrong reasons. I think there are certain names in biotech that are probably getting sold off for the right reasons, because their products are very expensive. You look at a merck, pfizer, some of these names. Bristolmyers, maybe. They had struggle. You look at some of the drugs in the pipeline of a merck, for instance, very good news. And still working on alzheimers, which is just like a cherry on top if things start to move to the up side. I like the fight you guys are having on this desk. Anybody a buy . No, heres the thing. Its not just theyre not just going after the gouging. Theyre going look at whats going on in california, prop 61. Theyre talking about all drugs on that. Lets take the other side. Lets talk the Affordable Care act. People are going to get massive, massive bills next year. So now how were they going to pay for these drugs . Theyre not going to be able to. We have a huge problem with the health care sector. Do we get a pop . Maybe. Go get a trade on that. For a longterm type of thing, after the election, you still sell. I dont think that was the question, a longterm sort of thing. It is what was going to happen i think its a winwin through the election. What is the winwin . Did you give us bks turn. How could it be a winwin when you saw donald trump being elected, biotech ran. Its not a winwin. Its got to be a binary instance. People still look at hillary as negative for biotech. We saw it last week. Were going to know in a few weeks. Ill give you my pick. My pick based on the fact we saw last week when it was potential when the emails came out, you saw the markets sell off. Volatility. That means that if trump wins, we will likely get a selloff based on what happened last week. That also means the market is pricing in a hillary win. So what happens next week . You sell the news. What happens when people sell the news, and or Something Else happens . Market goes down, volatility goes up. You buy cme. Thats going to benefit from all the volatility. Just reverse of the reverse. Right . See how i did that . Exchanges. Drop the mike, bk. Hes out. Lets take a look at the market here. Slow and bad. Best describes october. Quietly, the s p 500 just had its worst month since january, falling nearly 2 . Our next guest says buy this dip. Lets go off the charts and find out why. Chris veron, over at the smart board. Chris, what are you looking at . Eight weeks left in this year. And i want to talk a little bit about how the first ten months of the year tell us about the last two. So what we did today, we looked at what is the market tend to do in november and december in january through october are positive. You tend to get returns of nearly 4 in november and december. Conversely, when the market is down, heading into the last two months of the year, the last two months of the year to not be very good. We like the setup that the s p is up 4 so far yeartodate. Historically, led to better than average returns in the last two months of the year. Now, obviously, the election next week factors into this. So what we wanted to do, look at every election year, all the way back to 1950. And what you see is how the s p tends to bottom somewhere around the last week of october, and rallies into yearend. If we use 2012 as an example, the election was november 6th, the market bottomed november 15th and rallied very sharply really through january. So we like the history here. And lastly, i would just note, what strikes us, really, is that the street has taken off a lot of exposure. The streak right now actually running net short s p futures. We dont think people are positioned for a rally. History says you tend to get one. Thats how we want to play it. We think 2050 to 2075 is very good support and we certainly want to be a buyer of any preelection volatility over the next week or two. Oh, its interesting that little short position that people have. Should we invite chris over . You guys have questions . Absolutely. Come on over. Ashley will bring over the chair. So, chris. Yes. The only issue i battle with, is that same old phrase, this time its different. We have the fomc, opec. A bunch of different issues, the election. We have three issues that to me have the ability to run up into, be sold after the fact. So you know, buy the rumor, sell the news type of event. That leaves us a wide berth for ke december. Thats what im battling with. Youre talking about historic data and youre talking about this year specifically. What strikes me, and someone talked about it. We have seen ship stocks do well, banks do well. We have seen transports. Even today trade well. That to me is leadership that suggests underneath the surface, things are not as bad as the headlines might suggest. Also, what happened this week . Copper acted better. Aluminum. Industrial metals. A risk on environment, not a risk off environment. Im morin dined to use weakness as an opportunity. Do you get concerned with oil . Particularly today. Almost 4 on wti. Does that do anything to your thesis . I think one of the most important things for markets in general, stocks have generally decorrelated from oil over the last several months. Were not every day look at the tick on oil. Not the last couple weeks. Totally correlated. When we think about in context where we were 12 months ago, every move lower was associated with a big drawdown in stocks. Thats not the case the last several months. Im more inclined to look at that as noise and instead look to the Industrial Metals as a better signal on growth. Some of the cyclicals, european banks, european autos. Japanese banks, all acting better. I dont want to ignore that here. Chris, thank you. Chris cerrone, buying a yearend rally. Left side of the desk. What say you . Listen. Theres a strong seasonal trend. Would i buy the dip . Probably not. I look for other places, buy gold or something. Those are better trades. Those have been better trades all year. So why wouldnt i stick with that . Under most scenarios where hillary wins next week, buy dips into yearend. Give been saying this for months now. Dont think its going to set off palpitations in the market in 2016. 2017 is another its just a whole another thing. Because at the end of the day, if she wins, doesnt, and a resounding sort of way and there is no contest or anything like that, i think were probably okay for a bit, especially if people start thinking about fiscal stimulus and what that means as we start raising rates. I know its going to only be two in two years. To me, i dont think its going to be panic time in 2016 if she wins. I dont know how were living in this prism of elections. And i think were going to get back to focusing on no global growth. Anemic were in a bubble, maybe this slight growth here. There is no growth around the world. I think were going to get back to focusing on that. And thats a negative story. I think the best opportunity to piggyback on top of what dan is talking about lieutenant, youve been phenomenal. Buy the stocks on the dips. Creates great opportunity. And we are going to see more volatility. And i think thats what chris was talking about. Hey, look, if you see this volatility at a lower level, you want to buy it into this. I think the reason hes saying that, we all think there is going to be a spike. Either way, with he get a spike in volatility, because with donald, its uncertainty. With hillary, the problem is, people are still very uncomfortable about exactly whats going on behind the scenes, whether its the fbi or whatever. So even on a win, i think there is some concerns out there about where she really stands. How far left, how far does she actually come to the center . All of those things pop up volatility, gives you a great opportunity to look for buys and use that volatility at the right time against your uncertain no matter who wins. I think so. Donald much more of an uncertainty. With the s p up 4 right now, if we do have a week from now, if things feel pretty okay, as far as the political landscape, i think theyre going to close higher than where we are right now. Okay meaning a Hillary Clinton win. Yeah, between now and the end of the year. There is no reason to sell them off. But after the election, we might see that volatility. The only reason fomc. That is factored in that to me is the only reason. If they were hawkish in december, then you have reason to be worried in january. I would look more towards oil. All right. Coming up, dont look now but a lot of highflying tech ipos are crashing. Why its got one of our traders very nervous. Plus, more drama in espn and the mouse house calling foul on nielsen. Could the Sports Network be in better shape than we think . A special report. And why one of the Fastest Growing trends in the market may turn to the biggest threat to your portfolio. Much more fast money still ahead. Were drowning in information. Where, in all of this, is the stuff that matters . The stakes are so high, your finances, your future. How do you solve this . You dont. 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You have to think about the context of risk on, risk off. So at some point, all those names are up substantially from their ipo prices but all off in a very short period of time. Thats something worth keeping an eye on as we wake up and see a 10 billion, 20 billion, 30 billion m a, two contrary. 94 is half of what we did in 2016. Just to get or 2015, just to get back to that level, a lot of wood to chop. Its important to keep an eye on that, just for that sort of riskon vibe or whatever. Were going to have a down year in ipos. You bring up an interesting point. Theyre still up from their ipo price. And then these everyone in this desk, the cost to borrow these, when they come out ipo, you cant short the stock. So the cost to borrow comes in. The stock is shorted. The stocks come in. But you have to also look at mutual funds. A quarter of all mutual funds was their fiscal yearend today. They own these. So they own a lot of these new issues. But theyre not longterm positions. So they buy them and then they sell them. So you dont think its a sign of a anything for riskoff. You have a lockup expiration on twilio. So you see that in december. Thats the one you short it you keep an eye on maybe in the next month or two and becomes a buying opportunity. In twilio 50 . A little bit of concern there. I think, quite honestly, people start looking at these markets, and in this market that were in right now, and you see people taking money off of the certainty areas that they had before in terms of those the dividend players and all the rest of that. And all of a sudden look at a twilio and whether do these guys make money, and are they going to grow fast enough where i am comfortable about it. We have already seen the selloffs where you have great growth still, but is it great enough to hold on to a 50 60 multiple. You look at twilio or other names, they dont have a multiple or make money. When will they is the big question. In terms of risk op, i would be concerned with something really frothy where you saw double and triple the ipos coming out that were really, really low quality. These are fine quality, but youre not seeing that kind of froth and that bubble type of thing. I would say actually, some of these i might take a look at buying. Maybe a twilio at twilio at 70 a share might be on the frolthy side of things. It could have, yes. All right. Next up, our move of the day. Check out shares of the United States oil tfc, more than 3 , oil under pressure as nonopec members became skeptical. Ahead of next months meeting. Beaker, quite a decline today. Yeah. Big decline. So the whole oil rally has been based on two things. You saw number one saudi arabia change to oil minister, which meant they were changing the way they were looking at the market. They were going after market im sorry. Abandoning market share and rather going for a higher price. Second part of the rally was based on the fact that they were going to cut production. And that they were going to have some kind of agreement. Agree to agree. It looks like that is kind of falling apart at this time. You have to be worried. Thats what happened today. The rally looks like its on hold. Its too early to say, are we going to get back to that saudi arabia trying to gain market share and just dumping on the market. I think its too early to say that. Definitely watch the space, because were talking about black swans. This is certainly one of them. Do we have an upward bias to the price of oil in that saudi arabia is 100 in seat belted to get the price of oil higher . I think there is. I think there is a floor under there. I thought it was closer to 50. It doesnt look like that. Well have to see. They have been incentivized to get the price up for the last 30 years. Even if opec does not disappoint with their word