points at 11:30 and coasted to the rest of the day. i do think china had some impact as we came in to the day. people were evaluating whether the global growth engine will talk more about china as well. it's dead. it's absolutely not dead. the real demand is not there. it's not for oil. if you get a data point like that, it was repug nanlt. bottom line, the bottom line is hedge fund traders love this environment. we're going to trade sideways. >> give us an example long-short. what are you doing? >> look at deere today. deere came out with good numbers at least they beat. they got to the fourth quarter that wasn't going to be so great. you had the chance to sell deere or come in and short deere and you buy caterpillar. the reason i like that trade is i think caterpillar is much more exposed to the global economy. they get 65%. making machinery for the markets

in china. and these guys are outperforming. you can do some trading and find your very inefficient incident information flow playing in to these stocks. >> do you buy the fact that we should believe china is the canary in the coal mine? that's what took us hostage for the first half -- first half-hour of trading or so. first hour and a half of trading, whatever you want to make of it. >> it's a great question. i do think we can no longer ignore china. sometimes the older generation, which i include myself in -- yes, we didn't consider it. but now we can't ignore it. that's only part of the story. the other part is it's interesting to note the money sitting on the sidelines that doesn't let the market come in. any time there's any kind of pullback, it gets deployed. i can't ignore that either. i really feel like there's more of that on the sidelines still to come. so i'm inclined to jump in on any kind of downturn.

>> you're part of that. >> i have made money on the sidelines. i find valuable things. i admit it. >> money on the sidelines and every time we have a pullback, we'll see the money go back. the smart money and maybe the not so smart money no offense to anybody out there. you want to trade the market. you have at the same time changing the market seems dangerous. >> you pointed out, the dash for trash. i want to avoid that. but there's tons of quality out there that you can still buy. so that's the kind of thing we're buying. >> not just the dash for trash today. look at the volatility index. long before oil, long before the rest of the market opened on the highs. above 28. a great excuse for people looking at that level saying, you know what, we're going to sell this. that volatility index dropped 45 minutes in to the trading day, it was below 27. and then zapped the remainder until we got to 1130. that's when you saw the volat e volatility index take another

step down closing near 26 at the end of the day. just help me right now. people have their positions protected pretty well. they're willing to step out and use some of the premium, use the volatility to their advantage. looking at the dips, looking at what karen is talking about. there's an enormous amount of money sitting through and waiting and waiting using that opportunity. >> merrill-lynch does this great fund manager survey. the cash balances have fallen to 3.5% from 4.7. >> optimistic. >> the lowest since july of '07. that's the contrarian. in other words, when sentiment is so high, you get concerned. cash is coming in to play, i agree with karen anyway. i'm not sure this takes into account all of the money market funds that are not technically in cash but waiting from low, low yielding instruments to move back. but there's no sense. >> important to remember this

day as we navigate to the remainder of the year because that's what oil did. you look at the supply of oil. that's the biggest drop in supplies we've seen in 15 months. you see the tango coming out of the market. all the excess inventory. >> you're talking about the other side of the equation. supply coming out of the market. production is down or we're starting to see a pickup in demand? >> the storeril right now in oil is you are seeing inventories getting worked off and you know demand is going to come back at some point. there's no alternative for what the oil story is. >> production the. >> production has been low. opec has been phenomenal in the compliance with their quotas. today is a big day in oil. i tell you, here's the debate going forward. what happens if we do get the surge in oil. does it have the growth we expect to happen. >> do you see oil leading the markets higher today. oil is higher because production levels are down which is causing the supply-demand imbalance.

the stock market was based on oil going higher is a little bit phony. absolutely. a little illogical but that seems to work. >> supplies-demands, they're in balance with way too much supplies in here. no reason they shouldn't be trading at $72. it's stock piled, played as an asset and a weak dollar. >> not a barometer for economic activity yet? >> i don't believe it is. it's a barometer for economic expectations down the road. >> but people -- we have the last second. the stock is trading lower. we saw it this morning. getting pounld in the dow. you know where it's finished. close. it was over 44. an incredible run. the margins looked better than people thought. the services business had that record number. you have morgan stanley out there raising the etf for 2009 and 2010. put the target up 57 which will put it at a 13 p/e.

people look for that when they look for the fundamentals. that story is looking compell g compelling. you want to look at something like hewlett packard, ibm. looking at the performance. that's what started moving the market to the upside. the big, big cap ex. >> is that a name you were looking at? >> yeah. but we do have i didn't think that call was so fantastic. it was good. >> it's a glass half empty. depended on how you wanted to read it. >> the stock had a nice move. in a bad take, you could have seen a trade down -- it was done well. >> in a nutshell, he said exactly what intel said. what everybody else in technology said when they gave up the earnings. they talked about stability. they don't know if it's ready to turn yet. it's as if they read the same script but because of the reaction to the stock already in the last month, that's when we saw the weakness. >> biopharma stocks.

merck leading the charge up 3% after the judge upheld the ruling for singulair. ibb had a nice run today. >> i looked at the sdi. if you talk about biotech, it's underperformed the entire month of august. now you have a point of reference to get xpi up 2%. got up to 53. out on this is 4975. that's the point of reference. take a look at merck, pfizer, elpida, merck. hey, regis is right on this one. >> get me reeg. >> jonathan, 1640. if he gets above 1670, it's interesting. >> they have lagged all year. they have gone behind the s&p. it's up. well below the level right now. look at merck, pfizer, people start to look at the attracti attraction -- hey, look at the balance sheets and the dividend

yields. if i want to park my money right now, where's the safety net, i want to look for pharma. >> if you have a pfizer or a merck, you overright the collective premium? >> i do. >> instead of sitting through doing nothing? >> a writer's dream right now to create dividends on top of those you've got, it's phenomenal. >> don't forget, anything related to the health care space, as obama's plan continues to fall apart across the board, it's a good thing for anybody. >> china watch. stocks from the shanghai index hitting bear market territory. 19.7% off of the 2009 high. declo decline of 20% from the high. you and i have had this discussion all day today. this is a high-data market. it's up 53% for the year. >> not representative of china's economic strength. there's a lot of puffed up expectations that do think there's a lot of speculative

money that came from bank lending money that was three times what it had been that possibly has gone to stock markets and the real estate market. so i'm finding the numbers a little dubious. i don't think it's representative where a lot of institutional investors are playing china. >> if we go to the chart of the day, this is why people are watching china and the direction china is taking and how it is dick talting where we go. you can see, it's a complicated chart. the yellow line is the shanghai composite. the white line is the s&p 500. if you notice, the shanghai composite tops right about there. that's where the u.s. market tops. the bottom here for china, we see the u.s. market bottom a little later on. we have been following this china market. that's why it has been the canary in the coal mine for us. at the same time, if we can throw it out for you, we can show you why china is not a good barometer. 60% of the china shanghai index

retail investors. driven by the common guy out there. common people -- less than two years' of experience investing in the stock market. that's a little scary. >> you want the common guy feeling good to go out and buy a lot of the domestic products they're trying to push. the institutions are not in this market. this market did lead us in october of '07 down, went 73% due to lows before. it's come up 185%, excuse me, retraced 25% of that move off of the lows. and honestly, at 35 times earnings, it was a peak at 50 times earnings in '07. i don't think it's representative of any investment that people have in china. >> take la look at how skewed this market is. 849 stocks. the top ten make up 44% of the market cap. fourth largest stock market in the world, shanghai index. >> growing. forget all of the stocks and mum bow jumbo.

if the middle class is growing? why do they get on the conviction buy list at goldman sachs. >> they were long already. >> they put in a practice rating on all of the base metals. they have been right all through the process of the commodities run. copper is what they found out with. under $2. they're pushing to $3. they think demand is real. they point to china, india. if there's a demand, a true middle class growing out right now, that's what we're looking for. >> is there an economic barometer for economic activity? it's not the same incident that the u.s. stock market is for the u.s. economy. it's nonanticipatory in any way. >> down 20% in the last three weeks, petra down 20% from july 28 and the local market is down 7%. same thing with sinopex. a lot of the big cap names.

that's a disconnect i don't feel comfortable playing. >> something you can't play. >> you've got to prefer to play some of the american plays, whether it's a three-point -- or going global. >> china. >> get the exposure. you don't know about them. those aren't investments. those are trades. >> let's bring in dennis guardman of the guardman letter. he's got expertise in the commodities market, certainly. the commodity king is his nickname. the heated debate -- not so much on the debate. but are you looking at the shanghai index of any sort of a precursor of where the u.s. stock market is going? >> i have for the last couple of days. it got ill. you walk in. i go to my office at 1:00, start to write, trade, see shanghai down 5%. start to see the s&p futures down 500 or 600 points. walk in, sell the market short. i tried it. the next thing you know instead of being down $100, you're down 50. down 20. all of a sudden, you're

unchanged and good traders say, i got this one wrong, i'm going to the sidelines. so, for the last and a half or so, china is a an par 'tis pa conciliatory market. it bottomed before our bottom. we're paying too much attention to what china is doing. it's the middle class that's doing it. chinese speck latering on things? who knew? >> what are you doing with copper, oil, any positions? are you just covering? what are you doing. >> i walked in. i was short a little oil. that didn't feel too good especially when i saw the crude numbers and turned around and said i'm going to go the other way. i ended up buying high beta oil stocks and selling lows. i'm a hedger. i try to put trades on like that. quite honestly, you look at the chart of crude, it's breaking to the upside. i'm shocked. we never thought we'd see crude oil get above $72 this quickly. it's here. i've been at this for a long

time. i don't understand and it's breaking out to new highs i'm not going to be sure of anymore. >> if you're a buyer of the argument that the chinese stock market means something, it is anticipating something. it' heading to a bear market, 1947 off of the highs right now, you should believe that economic activity in china should flow. therefore, you should believe that commodities should tumble. why are we seeing the breakout in oil. >> first of all. we're up 100%. the global stock markets are doing better. the global economy is doing better. we need to understand, yes, we're down 20% from the highs but up 100% from the lows. this is a rather normal consolidation. i don't ascribe to the fact that this is a new bear market in the chinese stock market. this is a correction in the bull market that began last november. >> real quick, we're running out of time. on oil, it continues to move higher. you think it's damaging here to

the growth that we might see over the next three to six months. >> start pushing crude oil. get the refining margins to the point where gasoline gets above $15. the consumer is going to feel uncomfortable about that. that's the thing you have to be concerned about. what we might end up seeing is that the savings rate which is skyrocketing comes back and people have to spend a few of the dollars to get to their price tank. watch gasoline prices. a good indicator of what the consumer will do. >> valero did fine. those inventory numbers were -- >> great to have you. see you soon. >> thank you. next trade, watch the options activity in the fertilizer space. >> podash is a name we have brought up a lot. the pricing is coming down. the stock was down to $91, then started to move to the rest of the market to the upside. they hit around 95, they start to come to the september 105.

i say there -- institutional buyers were in there. 10,000 in a single clip. the total trend, very, very active. upside buying at the 105. this is a stock stuck between 80 and 100 for a while. this is an anticipation just maybe podash is able to break to the upper end. >> i agree. love it like pete. that is sideways. >> love it like pete does or -- >> i don't know how pete likes it but -- >> the big -- >> move on to the next one here. five years ago today, silicone valley's illustrious history hit the same. google shares has had some staggering growth to the tune of 400%. what's ahead to the tech titan in the next five years. mark mahaney, top internet analyst. good to see you in the flesh, mark.

>> i think the stock could get up to 600 as well. step back, $26 to $27 in earnings next year. a new secular growth driver coming in in the form of mobile searches. that kicks in. margins go up. people will put a multiple of 20 to 25 times. >> i've heard mobile search for a while here? >> 2005, mobile six, seven, eight. smart phone summer. people are coming around here. typing in things like new york city bus tours and they're getting paid searches clicking on them. a new form of searches that google is seeing. incremental. going to be more than 10%. that moves the numbers. >> mark as the smart phone market share continues to build, will you play with google as well as the apples or the rems? >> if it's incremental, it doesn't take away from what's on the desk top. people will access the favorite

internet applications more. what's the favorite internet ap? search. it's easier to do on the device can. amazon will benefit, probably e bay, but the first winner is google. >> you're looking to take market share from the legacy players. is that working and is that a meaningful part of your evaluation? >> it isn't. didn't get any revenue. but anything that helps improve the overall mobile phone experience. these things were terrible two years ago until apple came out. the android phones. motorola, palm prix. it changes. google should benefit from that. >> the anniversary up 400% or so. are you surprised at these runs? >> blew through everybody's estimates, including mine. way underestimated the company. skeptical at first. it's a core long name in the internet space like amazon, you want to own google. >> thank you for watching us.

that's the word on the street. coming up, options action on a little known tech company that's breaking out on the charts and karen is seeing some heat. give you the trade and all of this in a minute. getting grilled on the capital to the childhood home hitting foreclosure, it's been a trying year for bernanke. obama holding the key to his future, a noted critic takes aim on whether bernanke's year will get worse. don't hate the minor, hate the metal. the prospector on this sparkling trade. and his pads back on to drill home the basics. trader trading camp and the live hitting starts next. some people buy a car based on the deal they get.

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what do you think should happen? >> i would like to answer your question with a question and answer my question.

the question is do we want to pursue policies or irresponsible policies. greenspan took over by bernanke. we followed irresponsible policies and that led to the lack of regulation, left us with the train wreck we have. >> what about policies that work, though. it's not the predecessors, we're talking about bernanke. he's got to deal the hand he was dealt. >> let me finish, okay? he's going to pursue the policy he's always going to pursue, which is more easy money. if you want to continue down the path of irresponsibility, he's your man. now -- listen -- but this is only going to be less painful in the short run. in the long run, we're going have a problem with the dollar and the bond market at some point. that was the upshot at buffet's article today. if we want to start down the

path of responsibility, we need to find a path of somebody new. it's not just the man. it's the way the fed goes about what it does. it picks the amount of money to print and it does so by the seat of its pants. if we're going to do that. if we're going to stop doing that. >> all right. you're a student of history. you know that this is -- a tighter fed policy back in the depression not only didn't work but was a disaster. i don't know how you can assume bernanke wanted to float him monetarily out of this. other than the situation he found himself in. >> wait a minute, found himself in? he was cheer leading green span when greenspan was saying there's no such thing as a housing bubble. he was encouraging him to print money. he's a proponent of easy money. he never saw the problems coming. he never will. >> let's agree to disagree. you guys are on opposite ends of the spectrum. but the reality is, you don't

believe bernanke should be in. you don't think it's the right thing for the market. >> my money is he will be in. as a country, the short term less painful path and print money and pursue bailouts. but for my kids's sake, i hope the train wreck comes in the fx market. >> that's the important distinction. what should be done versus what will be done. what will be done is bernanke will remain the federal reserve and the policies will remain intact. so therefore, how are you investing based on that? >> exactly. you want to be long things b beneficiary of money printing. precious metals, ancillary businesses. money printing is going on here around the globe and you want to capture the beneficiaries that it will have some deleterious side effects not to mention a weakened u.s. dollar and higher interest rates. >> short the long end of the curve which is the switch side

of the same thing you're talking about here. are you surprised we haven't seen that move so much yet? >> karen, no. i mean, intellectually, i'm with you 100%. but i feel as long as everyone is copacetic and thinks all this is fine, the fed can buy more than it needs to. now it says it won't. until there's angst in the fx market about the policies, i'm not going to be short the bond. though intellectually, there's no place for these yields to go but up at the time. but we could get run over in the meantime. >> great to have you with us. >> if bill is correct in what he's saying, at some point, we need to have a divergence between resource names, energy names, commodity names rising. and the broad equity markets rising with it. it will make sense that at some point that correlation will break down. >> but i think we do. that's the problem that people have with this market. they don't see why a lot of the name should be going up. but i agree with bill. we will be going down a path of

a weaker dollar. said it for months. he did come out of a fed with greenspan that was in the pattern of easing and called helicopter ben. this was what you wanted to do to get out of us. i don't think there's a choice. >> whether or not you disagree with bill or anyone else, the reality is ben bernanke will in fact remain. >> ben's future? >> trading commodities. >> gold. >> get to your training camp. >> that isolator on. >> all right. time now to head to our process for traders best proprietary ideas. major activity this week in data network named sienna. >> pretty interesting activity. lost in the shuffle yesterday. the big call on the smart phone makers. research in motion, apple, all of the stocks are going up.

sienna was going up faster. the incredible amount of activity. while we were doing the halftime report, they started buying in the communications network. they started buying the 12 calls in august. in august. they expire on friday. they go up to 20, 25 cents. maybe some speculative paper. by the end of the day, 30,000 of those traded. people coming after the calls. they continue today. those stocks -- calls got up to $1.05 surging to the upside. very, very active today. >> they are the hot growth engines that can have you saying fast money. forces at cnbc join forces at 9:00 p.m. eastern time to give you the fastest scoring countries of 2009. tyler mattison is here. how do you get on this list? >> well, what we did, what fortune did in a deeply secret proprietary methodology is look at three years' worth of earnings per share growth and three years' growth of sales

growth and stock market total returns. then, looking at all companies that are traded on a u.s. exchange file reports at the sec, they ranked them and came up with a listing of the top 100 growth companies taking those three different variables, mushing them together to come out with a top-ranked company, 1 to 100. >> rem, an interesting name. >> rem was the number one company. it should be no surprise. i tell you this. while there were many companies on here that were technology companies whose products that you and i might not know, quite a few were companies we would know very well and no one, none of us here, probably, doesn't have a blackberry we carry around and we probably spend more time making love to our blackberries than we do to our spouses. but the truth of the matter is, this is a hot product. it's grown exponentially, three of the top-selling cell phones in the united states in the first half of this year were

blackberry models. the curve outsells the iphone. apple and the iphone are coming on strong in the cell phone market. it looks as though -- you guys handicap the stocks know better than i -- that the growth in the smart phone market is going to spell better things over the next couple of years for rem. >> black rock is on the list. where does it fall? >> it fell at number 50. squarely in the middle. but the surprise here is that in a year where most large financial services companies were thinking about anything but growing, they were thinking about surviving, this one not only survived but there arrived. black rock now, the largests a set manager in the world after it concludes the deal with barclay's global investors. it will have close to $3 trillion under management under the sway of larry fink and rob capito over there. this company now, the biggest behemoth on the street in terms

of asset management. how did they survive and thrive? they do little propie tear trading and that kept it out of trouble. >> how is true religion. amazing, $100, $250 jean. how did you find out that makes them so successful? >> they're in the 80s in total rank. a hot product. true religion jeans. >> you have like 20 pair. >> i wish i do. anderson, a bank account at ubs. i have neither. i wouldn't fit in true religions, i'm afraid to say. if you have a hot product in the fashion business right now, true religion along with several other brands, they're hot. they sell a lot of them. the true housewives of new jersey. you believe they're spending money on true religion. >> the name on the list that i love. let's give the viewers a trade. amazon, you've got to like amazon here at $81.

it's the on-line walmart. this morning, 6:00 in the morning, i was on there buying toys for the kids. amazon is doing everything right. it gets to $100. that's the trade. best one on the list for me. >> the other companies are these commodity companies, companies who, again, have a new paradigm of growth and earnings. these guys have seen the price of the underlying commodity triple or quadruple. >> thank you so much. fastest scoring companies in 2009. more coming up next. get the best mileage. well, do they know this malibu

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welcome back to "fast money." here's what we have. cnbc asia has a preview of what to expect when you wake up tomorrow. and sometimes it works on the football field can also work in the trading pit. former nfl linebacker, lays out a defensive play book for this market. he's got his whistle ready. so hold on. tim's got a final trade on an energy play that's back from the dead. but first, today's edition of pops and drops. pick it off for alcoa.

>> goldman sacks up from a buy to a neutral. three point drop. keep in mind, folks, the aluminum fundamentals have not improved. that's the reason why alcoa reached 13. move on. >> drop for ubs. down 10%. >> part of the settlement turning over 4500 names to the government. this relieves a major overhang in the stock. i would step in after a move down today. >> a drop and a pop also. 1%, perhaps. not so bad, goldman took a lot and was able to fuel and swim upstream and close on the positive today in the big oil move. >> that's a good fish met tore for. >> drop here for the electronic -- down 2% each. >> just a little bit. it's all tied in to sony's play on the playstation. a bit of a drop, not too bad. >> for more, do not miss a special "fast money" tomorrow with the man whose name graces the cover of the greatest

franchise in history, the one and only john madden. 5:00 eastern time. that's going to be a hot one. time here for the japanese pig rodeo. the 26th annual -- this is actual video, by the way, the pig rodeo is held this weekend in west japan. 40 men and women attempting to ride a 285-pound pig. the person who holds on the longest wins $500. >> you and your brothers do that. >> i wrestled pigs, let me tell you. >> every person should do one. >> unreal. >> it's down 3%. >> the price action this morning before the open was unbelievable. 46.25% down to 3.75. stock down 42.52. buyers came in. i think you can stay with deere here. >> china petroleum, smp was up 3%. >> talked about the discrepancy between the a shares and trading in the blue chips over here. watch this stock. it's a possibility it can improve with the refining market much better in china.

>> the solar name down 5% each. >> the panel prices keep dropping in the markets. that's the big call. the margins are dropping as well. the margins are killing them. >> the oaa. >> i love it when it all works logically like that. >> and a pop -- following the animal theme we've got here tonight. nora, the piano playing cat. this cat with a musical ear began putting paws to the keys after watching her piano instructor owner. after she posted the video on youtube, it's a sensation of conan, ellen, and the today show. >> what cease she playing. catnip all over the keys. former nfl linebacker breaks down the defensive play book for a market that's on the offense. back in a minute. [bell ringing] the way the stock market's been acting lately

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>> welcome back to "fast money." live at the nasdaq market site in new york city times square. we heard from you. the e-mails say you need basic trading tips to get ahead in the

market. the flip to help tackle elusive trades. >> use it to make "fast money." this is your trader training camp. from the days where i dominated the practice fields in minnesota to the offseason workouts in the pro football leagues, let me tell you something, i know what training camp is all about it's about getting the basics and beating it down to understand what really leads on the playing field and on the trading floor -- defense. the great offenses are exciting, but the defenses win every year. defense is about preserving winner.

keep a cool head and knowing you're in and out points for the stock. take it from the pit boss. if you're playing in a high-flying marketsever day, defense is what wins and defense starts with discipline. >> oh, yeah. >> that was amusing, pete. very nice. standing by there. you got your whistle ready to rç go? >> i do. i'm ready. >> let's get it going. so, you've got the defensive -- there is what you have to do. you have to learn the basics. first of all, when you're learning the basics, you have to know about the company, you have to research the company. you want to know the fundamentals, the catalyst, what's going to move the company. that's all the things you need to know. now, you've got to stay disciplined. you look at the entry point is, where you're willing to get out and stick with the discipline. right or wrong, preserve the winners, cut the losers. we end up building on the losers. not a good way.

cut the losers, let the winners run for a while. then take them off. you have to come over here. three-poi three-point. we have it doing a terrible job of showing you that. 65, boom, that's a sell. get down here, close to 50. there's the buy. you look at the levels. you continually see sell, buy, sell, buy, sell, buy. in that range. now, that's not an exact number. but this isn't an exact science. just like football, this is the same thing. not everything sticks to the exact game plan, but you have to have the game plan. you look at wells fargo, same type of a story. you have a tight band here. wells fargo, you do have a catalyst. you want to keep it in your mind right now. the catalyst is, are they going to have to raise capital. if they have to raise capital, that's going to put the stock down a little bit. that's why when you see the levels down here, if you're interested in something like

wells fargo, buy the stock. you better buy the puts. you need that protection down here when you decide this is a buy. you better get it. boom, that's how you make money. >> coach >> yo. >> what does the options market tell me? top and bottom. what do you see as an options guy on that as a telltale. >> fantastic question. you get to the upper end of this range. sorry about that. you get to up thor end of this range. lowest levels than it's been in multiple months. if you see three-point mc up here, if you can't help but get in the stock. goldm maman sax talking about $. why not buy some puts to protect yourself. if you're wrong and it doesn't go to 90, you can hold on the the stock and get the protection along the way. >> the basics. every good coach has an inspirational speech that's their favorite. what's yours? >> vince lombardi is number one. you can't stay in your seat when you listen to something like that. we have your trainer's version

of how you're going to listen to and how you're going to do things on the trading field. >> it's not an sometime thing, it's an all the time thing. you don't trade once in a while, you trade all the time. every time the fast money goes to ply their trade, they go to play from the ground up. him or her has to trade. some people trade with their heads. more important, you have to trade with your heart. every fiber of your body. if you're lucky enough to find a trader with a lot of head and a lot of heart, they're never going to come off of the floor second. i firmly believe that the best and finest hour, the greatest fulfillment to all they hold dear is a moment they can truly compare hearts, minds.

exhausted as the bell rings. victorious. >> the u.s. markets being whip sawed by overnight action from china. keep an eye on what's shaking in shanghai while you were sleeping. a live update from cnbc's asia amanda drury when fast money returns. chef's meal with pommes frites perhaps a night at the theater with extra special seats additional hotel night, our treat you world in perfect harmony: priceless look for world on your mastercard to get rewards and offers that matter to you. when people say, hey mike, why ford, why now? i say brace yourself. that gas guzzler in your driveway, just might be, a clunker. but don't panic, it could be a good thing.

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welcome back to "fast money." trading in times square. trading after dark. traders here in the u.s. staying up all hours watching the tick-by-tick. watching for another shanghai swoon. so, we've got cnbc asia's amanda drury back with us tonight. she's at headquarters now. amanda, what should we expect? >> i've been working with things and basically the bottom line is it's difficult to tell what shanghai is going to do. number one, we do not have the same kind of indications to the traders' futures to the extent we do here in the u.s. number two, you hit the nail on the head when you say the chinese market is not as mature as the one you've got here in the united states or in other countries. and this you know is sentiment driven, very volatile. and basically driven by retail investors who are very sentimental, who very quickly pull out. they're going to lose their money. because, remember, they have

been burned before. a lot of people, students, moms, dads, grandpas, lost their life savings in the stock market. they've been burned. they won't risk it again. >> you bring up a great point. it's a socially entwined market, do you get the sense that people are going to think that the government is rigging this market? it's an accusation. i don't think they're doing that. what i would say, though, is it's easy for them to influence the direction of the market through open market operations or some of the things -- is there a sense on the ground out there that people are concerned about this kind of whimsical force that really it's the government's game to play. >> excellent point. it's adding to the feuder right now. they have a feeling on the ground that because the authorities want to try to develop the market, if you like, let it trade a bit more freely, not so shackled to whatever the government's whims are, they're not going to step in and intervene this time.

whether they do or not, we don't know. they might not. nonetheless, you raise a good point. the market keeps on going up for the simple reason that a huge pipeline of those companies that are going to be ipo eagle soon. we had an ipo a couple of days ago, a high-flying ipo, china ever bright. scored 30% on tuesday, in wednesday's trade, overnight, it dropped by 10%. >> that was a big one. thanks so much. see you soon. >> final trade after this.

i bet that felt good. >> cold, baby. >> let's do the final trade, tim. >> exxon. the trade on china. >> love amazon here. >> striker, syk, long. >> pete? >> hewlettpackard. >> do e-mail us and let them know if you have any questions. thanks so much for watching. see you here 5:00 p.m. eastern for more fast money on cnbc. tomorrow, should you be video games. we're coaching our team on the xs and os. could china's bear market drag us down? "fast money."w well if you're hurt and can't work it pays you cash... yeah to help with everyday bills like gas, the mortgage... ...and groceries.

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i'm jim cramer. welcome to my world. "mad money." you can't afford to miss it. i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. no, i admit it. my job is not just to educate but to entertain. call me at 1-800-743-cnbc. this morning, it looked like we were in for a nasty selloff. >> house of pain. >> the consensus was that we

were going to get pollack and at first, that's exactly what happened. with the dow taking a 700-point plunge shortly after the opening. so, how come we rallied so hard? the dow closed up 61 and the s&p levitated seven points higher. why did this nutty market once again confound everyone's expectations? why does this darn thing have so much trouble staying down? first of all, the main reason so many people thought we were in for a beating today was you guessed it, weakness in china. but as important as china is, and you know i am always willing to acknowledge that the people's republic has become more important than the united states --