and before we go take a look at the day on wall street, and it was a winner -- actually, it was mixed to higher. the market did give up much of the earlier gains by the close. the dow tonight up 41 points, the nasdaq down 7, and the s&p 500 up four points. of course, the market is showing a decline on the weekend. second worst week of the year. have a great weekend, everybody. that'll do it for "closing bell." stay with i know back. is "fast money" begins right now. live from the nasdaq market site in new york city at times square, our traders are brian kelly, steven grasso, joshua brown, and let's get straight to the big stories. the dow seeing its worst week since april 19th. the ten-year yield rising above 2.9% for the first time since august 2011. and the vix soaring to end just below the key 19 mark. there were some signs of life. take a look at the big intraday reversal we saw in the dow and s&p, although pulling back slightly in the final hours of trade.

the question we ask tonight is, was the fed freak oout overblow? >> i think it's a technical freakout. i think it started may 22nd. listen, we can argue about the fed, i don't think it matters. but technically, i was really shocked that the market didn't make a bigger push towards 1690 today on the s&p. we talked about it with dan nathan last night. i thought we were going to make a run. at 3:00, it looked like it wanted to and then it faded. we had an outside week lower. you don't see these that often. is it overblown? no. can we see rallies along the way? yes. but every rally, if we close above 1625, i think every rally will need to be sold from here on in. how do we trade it? opportunities will be there. monsanto reports next week. you'll be long monsanto. they raised guidance a coup of weeks ago. >> you're a glass half full kind of guy, josh. on the corrections, you want to buy. >> that's how you make money in

the market. you don't make money buying tops. you make money buying, you know, panic. but i don't think we've seen all of the panic that we're going to see. i don't think stocks can bottom until yields stop rising, until bonds bottom. i think that's a very key component here. and i just want to mention some of the technicals that guy alluded to, because they are seriously important levels. first of all, you saw that 1,600, which was support is now resistance. we hit 1599 on the opening bounce and that was all she wrote. you failed there. that big 1576 level, which was the historic high from 2007 actually served as support today. we almost got there and bounced off of it. maybe there's like a mini trade range. i have no idea what next weeks brings. but i will tell you, a breakout above that 1,600, 1610 level is going to be significant and a break below 1576. before that, there's nothing really heavily i want to do. strategically, stocks are better than bonds, but tactically, maybe a little bit better to wait. >> you know, the problem is with these technicals is that people

want to see retests of them. so two days ago, when it all started, it was a magnet to try to get to that hundred day. we didn't get there, got there today, bounds right off of it. people will want to see that level to hold until next week. but today i bought google. been eyeballing it forever. bought it, hedged, a little bit lower, the problem is i got run over really quick. i bought i out of the blocks, bought a little bit more. i'm halfway to my whole position, but i am going to wait like the rest of the trading crowd. >> and you're still holding on to utilities. i've still holding on to gdx. it was a winner for about this long and then it gom stampeded and i'm still holding my southern, waiting for that chase in yield to come back in. because i do think there's going to be reversion there. >> and you're looking at the currency markets? >> that's where all this started. we're talking about a fed freakout. but for me, this started in the emerging markets and the currencies back in may, actually back in april. the fed, i don't think it was a fed freakout. what they did was light a match

in a dynamite factory. that's basically what happened here. the s&p had been outperforming every other single market in the world. and now it's just kind of what's called that reversion to the mean. i don't think this is over. i don't want to buy anything. i think what you're starting to see is all the money come from the periphery, which is the emerging markets, into the core. that's going to be coming into the u.s. i thought maybe tlt would be a beneficiary, it hasn't been. and i would agree that we'll need to see yields bottom before the market can rae rally. but the one thing you can definitely do is buy the u.s. dollar. >> on the desk, you wouldn't know, you can't get a consensus, was it the fed? was it the -- >> i think, today, you can see it from the market today. here is why. we had an article from john hilsenrath, we also had a couple of fed sources -- >> bullard came out -- >> right. there were plenty of people talking about how the fed is going to be dullish. the market rallied maybe 20 points. >> bottom line, look, nobody is committing to the equity market

until yields chill out. there's absolutely no chance. >> i think it's more than that. it's the emerging markets. it's china. >> those will fall in line. emerging markets are not driving the car right now. >> i think they are. >> i think the treasury market is spooking asset al indicators. >> for the last week, perhaps. but that's also driving the treasury market. if china doesn't have the dollars coming in, they aren't going to buy as many treasuries. >> it's all intertwined. >> i think it's part of it. i think it's japan, which is, to me, a disaster. europe, which has been and will continue to be a disaster. >> interesting, next week is important. and the fact that the end weekend was i guess a good sign, but there's a chance that the dow goes back down to 90. and i think the slowdown in china, we don't talk about it a lot, that's a big deal. there are a lot of other factors out there. >> but i think you also have to focus on, to guy's point and to the point we're making here on the desk, if you take the fed out of it, what positives do you

have to look forward to? you have to really struggle, and you have to start looking forward to earnings, that gears up first week of july. the rest of the stuff you just mentioned is still negative, even if it's incrementally better than it was. >> financials getting hit hard this week after chairman bernanke signaled the end to his easy money policy, sending yields soaring. but just how damaging might rising rates be for the big banks? our next guest believes the fallout could be far more painful than you think. joining us now is jilian ted, assistant editor at the "financial times." jilian, great to speak with you. >> great to be here. >> historically rising rates are good for banks. why not this time around? >> well, the problem is this. there's been such a low interest rate climate for such a long time that essentially what's happened is that a lot of banks have taken on a lot of pretty risky trades and positions to try and compensate. so, essentially, they've been buying long-term assets at low fixed rates, or essentially lending loans, not so much buying assets, but they've been finding themselves very short. the concern is that if rates

suddenly jump up, the banks will be rate with a big balance sheet mismatch and that could hurt some banks. the big ones seem to have hedged a bit. that's some good news. the real question is, what's happening to the smaller banks. and here in washington, the fdic put out a very interesting set of numbers earlier this year, suggesting that, actually, if you look at the long-term concentrations and exposures, they're at record levels, and that could be certainly a reason to be careful. >> hey, gillian, it's brian kelly. this is the problem banks always have. so names like jpmorgan and that type of thing are going to get hurt. but do you have specific banks that you're hearing that may have gone outside what they call in the hedge fund world style drift? start buying some of these risky things and are now really subject to problems? >> well, here's the issue. the big banks like jpmorgan have a lot of money into hedging their books. we have no idea how good those hedges are. because one of the big problems that still hangs over the

balance sheet that everyone should be concerned about is the sheer opacity about the banks' trading books and their balance sheet. their hedging strategies. there could be a lot of basis risks still inside the big banks. but the question is the smaller banks, which for the most part don't use sophisticated instruments to try to hedge their positions at all. they historically are just trying to balance their liabilities and assets. and there isn't a breakdown in the fdic numbers of the specific names of the banks they're concerned about. but you can see it geographically. up in the northeast, there's a large number of banks that now have long-term assets that are more than 30% of their portfolios. that's a reason to be careful. at the same time, you can see many commercial banks now have long-term exposure that have risen to record levels, up towards about 50% of their loan book. that's significantly higher. so it's really the type of bank that people should be watching carefully, that the northeastern banks, the commercial banks, savings banks, you should be asking in particular if you're an investor in those banks or a saver, lacking at those, going

to balance sheets right now and asking the management, what are you actually doing about hedging your interest rate rate risk? >> the bottom line, it sounds like it's the velocity of the move in rates that could be the problem here. in your reporting, what have we found in terms of those smaller banks that could have the bigger problems. are there specific names you could share with us? >> i don't have the big names right now. you have to break it down regionally at the moment. >> gillian, thank you so much for your time. interesting, because in today's session, this real standout were the regional banks. they're up more than 1%, pretty much. >> and the real standout to me continues, you look at bank of america's had a great move. look at the last four years. the stock has traded sideways to slightly higher. we keep talking about, u.s. bancorp is a stock that forget about trading at a 52-week high, here's a stock that's trading within whisper of an all-time high. this is a bank we're talking about. it's not the sexiest name out there. it doesn't give you the most beta you can get in some of the other banks. but in my opinion, if you want

safety in a bank, and we've talked about it for years now. >> and the tape tells you a lot. add to usb, add to wells fargo, add sun trust. the ones that were successful today, the ones that beat tout the tape, those are the ones up to be invested in. >> do you think we'll find out about these hedges this coming quarter? >> you'll see it in the bank stocks. so well before the quarter comes out. because i guarantee you, there are hedge funds and investigators out there that have a list and they know exactly what's on these bank balance sheets. so you take kre, your regional bank etf, which did very well today, and go through that list and look. northeast, find the ones that are headquarters there and watch those stocks. once you start to see those things breaking down. that's where you know you have the problems. >> time now to hit our top three trades for today. first up, facebook getting an upgrade over at ubs one day after setting in motion a new video sharing service on its hit app, instagram.

josh? >> ubs is basically saying that the company is more focused than perhaps the consensus believes on revenue. i think they raised their revenue outlook, and they raised their price target from $28 to $30. i've been pretty consistent saying i think the stock has bottomed, but i'm still not excited enough to get long the name. i would actually rather miss a couple of points and buy when there's real momentum here, which just has not yell materialized. >> next up, the pressure is mounting on the emerging markets. down 16%, and getting hit harder in this week's global sell-off. will the emerging market's pain continue? >> i think the pain continues there, but i think it's a little too late at this point to try to short the eem. i think there's better ways to do it. what i would look is over to the uk. ewu is the etf for the uk. their banks have huge exposure to the emerging markets, particularly china. look at standard charter, those kind of names. ewu, you shorted here. stay away from em for right now. >> and finally consumer staples bucking the broader down trend

and outperforming the market, ending the day up just under 1.5%. peg, pepsi, some of today's biggest winners. >> when everyone else was dumping everything else out, this was the favored group. it was dumped, traded for other names, and now when people get nervous, they go back to those staples and those names they want to feel comfortable, like a proctor, like a coke, like a phillips morris. they chase that yield and chase comfort. next up, gold prices ending slightly higher on the day, but ending the week below that 1,300 an ounce. could 1,100 be the next stop? we're talking metals later. and we did the math and came up with a couple of several list of stocks that had the most violent swings within the market this week. we're naming names, straight ahead.

the commodities here, specifically gold, regaining some ground after prices plunged yesterday to their lowest level in almost three years. following the latest action is frank mcgee, the head precious metals dealer at alliance financial. frank, great to speak with you. >> always a pleasure. >> where do you see gold going next? >> well, we've certainly seen a continuation of the prior

movement with the gold falling off a cliff yesterday in reaction to the general ingiin market. i run that at around 1,100 to 1050, something in that area. it will take that much to get this market back to where we can find some stability and some long-term support. >> hi, mr. mcgee. it's josh brown. i'm just curious, is there any scenario whatsoever in which you would say gold intermediates long-term is not a good investment? >> well, i've been a bull forever and ever on this market. >> i figured. >> in the interim -- in the interim, though, what you have right now is the market starting to focus six months, eight months, a year out instead of focusing on the immediate short-term. and when it focuses on the immediate short-term, that you get the substantial rallies. but when you start looking farther out, when you see some type of economy on the mend, when you see a pullback, and in

general, a lessening of the support, it doesn't have to be an immediate stop, just a slowing down, that's when the market will take the type of correction you're seeing right now. if you see a number of employment numbers where we're back down in the $50, $60, where the sentiment would change that we have to get back on to life-support, you'll see the market rally back up. so you'll have some spikes. >> but you would never see it lower? there's nothing that could ever happen where you would say, gold's not a good buy? >> well, long-term, i think we've still got at least another $200 down. from there, i could see this go sideways in fairly wide range, maybe as lows a $850 for four or five months before it can even start to think about a rally again. we've done some serious damage in the intermediate term. >> so basically, what you're saying is after being a bull forever, as you say, you don't think that gold is a good investment right now? >> well, i think it is definitely a good investment,

depending on how you trade. if you're a trader, you have to be on the short side of this market. if you're a long-term holder of gold, you have to be look to doing an averaging down aspect. a lot of people have had tremendous success with simple dollar cost average and types of investments. that's still a good someplace. >> frank, great to speak with you. if frank is right and goes down to $1,100, will the gold miners be in trouble in terms of -- >> absolutely. and they also outperform to the downside. but the reason why i'm holding them, if gold does bounce, the miners outperform to the upside on the way up. >> if they bounce. how long are you going to wait to see that bounce? >> why do they outperform? they're just heavily debted -- a discounted way to play gold. they factually, historically, always outperform, because you're digging today's dollars for the run-up in gold. >> the last leg up in the gold rally, the miners the drastically underperforms. >> they outperformed on the way

down. they outperform also on the way up. >> okay. we've got to break it up, guys. >> just a fact. >> i know. pops and drops. the biggest movers of the week, of this volatile week. drop here for newmont, down 9%. guy adami? >> just talk about it now. miners can't get out of their own way. market lower, gold lower, doesn't work for these guys. stay away from the miners. if you want to be in gld, be in gld. >> pop for micron. >> god bless regis. this thing is still tied to d-ram. they're looking the to close p alpida. cramer was bullish on it last night. >> drop for at&t. >> this is also a bond proxy with their dividend yield. so when you get a week where wonds are selling off and stocks are selling off, names like at&t get killed. if you have a five to ten-year time horizon, i think you're probably already.

bk has a much shorter time horizon than that, so he would be away for this. >> drop for apple, down 4%. >> 420 was a line in the sand for sthehe were technical trade. i have a feeling we see a three handle back on this thing. >> and we have a pop here for directions. >> what? >> yes, directions. the royal baby of pop culture has finally arrived, as you all know. and parents kim kardashian and canny west seem to have consulted a compass when using the name. according to multiple sources, the couple nameded the new baby north, so north west. the only question is which direction will the baby take, pop princess or rapper. >> if that's on the impasse, the wrong way. >> that's right next to north. after the break, we're laying out the top headlines set to drive narcotmarkets next week. everything from housing to an old tech name, sure to drive some news. we went out and asked people a simple question:

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time now to fast forward and hit our top three trades sure to drive the markets next week. first up, a slew of housing data, both case-shiller out next week. the ten-year yield soaring to a two-year high. >> this will be the big one next week. everybody's worried about rates going higher, going to kill the housing market, which is one of the only legs this bull market has had to stand on. so the housing stocks themselves have actually got pretty killed over the last week or two. so i'm not sure i'd go out shorting those. i think if you get any good

news, polisitive news, or bette than or worse -- or not as bad as expected, you might have trade in some of the secondary trades here. like home depot. >> don't laugh at him. we've all been there. >> i thought you were taking the reverse of your own thing. >> no, no. >> you sounded great. anyway, next up, new housing to old tech, yahoo! has its annual shareholder meeting next tuesday. this is a stock up more than 27% since the start of the year. josh? >> i don't think this is a big trading catalyst in the short-term. there's actually a double top in the chart. but the lovefest continues. i think marissa will be asked a lot of questions about the future of tumblr, how are day going to use it to make money. i think the asian assets will still be the focus. i think the stock's okay. it's not my favorite. >>astly, blackberry set to report earnings after the bell. >> there is going to be to become a time when blackberry is really bought with conviction. i'm not sure we're there yet.

but you're hearing a lot of unconfirmed rumors of people looking to buy them. we have talked about that for the last how many number of dollars. i wouldn't be willing to put money at work, but obviously there is going to be a day when the stock just blows through the roof. >> some day. some day. >> you can always hope. >> a good prediction. >> good value added. >> just full of information. >> i was right to sound like -- >> i'll mark that on my calendar. some day. >> play this clip when it blows up. >> i did get into a street fight with this and i was negative because short interest continues to climb. >> all right. anyway. let's get some tweets for our crew tonight. this is for josh. 3-d printing, let it ride? >> i bought these stocks and i ignore them. i don't read any of the news. i think it's the third or fourth inning, both these companies will get bought out one day. >> do you have a 3-d printer? >> i don't. i want to get one with the maker box, though. >> that's actually not really josh. we printed him out this morning. >> it's a 3-d version. >> i'm a hologram. >> we ran out of blue. >> final trade, let's go around

the horn, bk? >> you want to short british pound, fxb. >> grasso? >> dunkin brands. >> i like chevron. >> the fed's lll. i'll see you back here monday at 5:00 for more fast. in the meantime, "options actions" begins right after this break. [ kitt ] you know what's impressive? a talking car. but i'll tell you what impresses me.

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this is "options action." tonight, king dollar rules. >> good to be the king. >> but not if you're a multi-national. so which stocks reveal the pain of the dollar's reign? then nathan's naming names and giving you a way to make money. and i whoo are these two men in a bitter dispute? >> i'm very, very pissed off. >> because mike's betting that brad's next flick will be a plop and he's got a way to profit using options. >> and talk about robbing the bank. >> >> get as many hundreds, 50s, and 20s as young pack into it. >> he'll break it down. the action begins right