we'll see what tomorrow brings as we watch the china indicators overnight. thanks to mike and kate kelly for join us clear to close out "closing bell." "fast money" begins in moments with melissa lee and the gang. >> "fast money" starts right now. live from the nasdaq markets overlooking time square, i'm melissa lee. tonight on fast, the iphone 6s is here on set and has one interesting feature that could be a game-changer for the stock so we provide the test to show you how big of an impact it may have on the space. and plus hillary clinton speaking on rising drug prices moments ago. did she say anything to stop the bleeding in the biotech route. but first to the selloff on the street. stocks down 1% as investors weigh global growth and the fed decision. so how much worse is the selling going to get. what does it feel like guy? >> it feels like it wants to

test the october 14th low of 1820. 1970, steve's level has held up. when can he did trade through it we mentioned 2035. the rally a couple of days ago took us to 2020, the fed day and we sawed off immediately. technically this market has done everything you wanted to do. i think we're heading down toward 1820. nothing indicates we're due for a bounce. all of the bounce is sold. all of the rhetoric out of central banks is discounted and i think 1820 is in the cross hairs. >> so my view is the fed was hawkish at what they've done is made the u.s. dollar stronger which is going to be a tightening of the u.s. economy and probably push us into a recession. we're already talking about a global recession and we probably get one here in the u.s. so i think the stocks could get worse. what is going on right now, is investors are repricing next year's earnings which aren't going to look as good as they do now. >> i was talking today with the head of morgan stanley and he

said the tran mission is not a direct one in terms of emerging markets in china, it is the indirect way in which multi-nationals will hit through the earnings and that needs to get ratcheting down during the third quarter. >> we've seen that happen. >> so it is priced in? >> no. i think to your point, i think there is much more to go. we know what happens when that starts and it is not pretty for the market place. but i agree with b.k., this will push us into a yield curve and hence the recession and there is a lot more to go down. clients, 80% bearish for what it is worth. whether it is contra or not, we'll see the market go lower. >> and you're a bear too. >> and the issue here is if emerging markets are important here and at the time they were supposed to raise rates because the strength of the u.s. economy, we're in a distinct situation. there is a possibility that

emerging markets in china are not as bad as they are telling us. but the problem here is the s&p 500 has been the last battle fought. and we're down 6% 7% from the recent highs. so guys level at 1820 would bring you back 15% from the recent highs. that is legitimate when you think of the damage done in almost every sector in the market. so again we have very poor breath in the s&p 500 and a handful of stocks keeping the stock market showing relative performance. so i don't think you shu be surprised to see the s&p with 1800 to it. >> is that enough? 1820, is that enough? because the true test -- first of all, let's not get ahead of ourselves. it is 1867 is the recent low. so when we test that, not if i believe we have to test that level, the market today did what it was supposed to do.

1945, down to 1925, is the bounce level, not to get wonky, 2020 down to 1867. so if we don't hold 1925, and 1867 immediately, who buys at 1820. that is the question. it is not if or when, does someone step in and buy it. are there dip buyers at that level because then it gets ugly. >> 1820 brings you back to october 2014, right? >> right. >> so does it dip from there. >> it probably gets bought from there. in bear market -- >> people want to believe still in seasonality. >> people can believe in whatever they want to believe in. the stock market is going down. they can believe in santa claus for a long time, and i still do. >> what are commodities telling us. what about the copper and the silver trade. >> think about copper -- zinc is making historic lows. so kmod has been broken.

so deplace is the enemy all along. that is why the interest rates are low. august 24th you had the opening on crazy levels. look at united technologies and look at today and to the 24th close to 88 and change and the low print was 87 and change so those stocks are absolutely trying to tell you something. >> and i would put on this up with the fed has failed you now. you thought they would deliver a soft landing out of qe and serp and if you think about the october and november, if they raise rates they will do it for the wrong reasons and they shouldn't be and the market goes lower from there. >> the selling started over concerns about china and today the president of china jinping touched down in seattle to kick off a trip. first stop in seattle includes a round table put together by hank

paulson. michelle caruso-cabrera spoke with paulson today and she has the live details. michelle. >> he has two meetings tomorrow. one over the microsoft campus. that is focused on the internet. the second meeting is orchestrated by hank paulson, the former u.s. treasury secretary to talk about a broader swath of the public, from different industries, whether it is the auto industry, et cetera. we have had a wide-ranging conversation paulson and i and right now president obama is considering sanctions against china for cyber espionage. he declined to give the president advice but he did say this. >> ultimately, i think it is very, very important for our two countries to come together. because we need a global regime, a global economic regime that is

going to be able to be enforceable and to curb and punish cyber theft. and that can only be done on a multi lateral basis and easier to do that if we work with china. >> there is hope on the part of the white house that by the end of the trip there could be an agreement on cyber rules of the road, so to speak. though not everybody is sure that can be done on this trip but perhaps a good faith effort. big speech by jinping tonight and we'll get a sense of what his mission is here in the united states after we hear the solpy speech in a couple of hours from now in seattle. back to you. >> there are any news conferences scheduled for him to answer questions or to speak to the press? >> we haven't been told any. we may have some access tomorrow at the hank paulson to listen to him but to ask him questions and

to see the interview today in the "wall street journal" was not done in person, it was done in print, via e-mail. and so i don't have the ability to ask him questions directly. >> thank you, michelle, in seattle. i'm glad she mentioned the interview because the quotes were fascinating. jinping said whoevership however large may be unsailing on the high seas and he compared to an arrow that has already been released. >> there is scary stuff. talking about cyber security and those things. you look at palo alto networks, look at the quarter, yes, it was down today. everything was down today. but that was $190 stock yesterday. huge valuation. but the space is absolutely in play and every couple of days you get rhetoric that leads you back to cyber security names. i think these names are all still biased. >> and it is cyber espionage and

of intellectual property for the tech companies and that is a big issue on the docket. and if china worsen, beaks is over at the smart board with more. >> we look at the dow with the largest exposure to china. we already know the chinese stock market has fallen apart. and you look at the domestic and the international markets like u.k., like the u.s. but here in the u.s., you have major companies with big exposure to china. so intel, that is the largest in the dow. they've almost got 20% of the prisons that come from china. boeing, 11.8%. 12% come from just china. that is not like brazil and russia and china. and again 12% just from china. so those are the numbers people are starting to look at. and when you look at a boeing chart versus eem over a five

year period, boeing is up 89% over that period and eem is down 10% over that period. so boeing has not reacted to the emerging market slowdown as of yet. now boeing obviously really fueled by the emerging airlines an the single pilot airlines coming out and they have a lot of lead time but the question becomes as the slowdown gets greater will some of the orders number one, be canceled and number two, where is the growth coming from boeing. so out of the three, boeing is the most vulnerable. >> so do you think it is a short. >> i do think it is a short. >> there is is a -- is a whole other set of companies with growth from china. >> apl. that is the one that has the biggest growth and some of the biggest revenue from china as well. that is the biggest one i'm concerned with. >> we've talked about apple a little bit. this is a company that is expected to have $230 billion in

revenues this year and china is growing at # 00% -- 100% a year year-over-year. and i think industrials is what you want to focus on. boeing is trading above a market multiple. when you think about all of the things that b.k. said, 12% of the sales come from china and 25% come from asia. you will see a slowdown and that is not where you want to be. >> coming up next, lower fuel costs sending the airlines to the most profitable quarter since 2007 but could that be your sign to ring the register. and did hillary clinton just say something about drug prices that could quell the bleeding in biotech stocks. mel terrell has the break down. and later the vw scandal heating up but could it be buying opportunities for the stocks. a surprising answer when "fast money" turns. i'm watson. and today hundreds of companies are putting me to work. i'm teaching watson to help your vet speak dog.

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we've got a news alert on a major milestone for instagram. julia boorstin is in los angeles with the details. >> instagram announcing it has over 400 million monthly active users. the last time it announced the

user number it was 300 million and that was the most recently in the past december. so the company grow 300 million active users to 400 million from december until now. and the company says that now 75% of the users live outside of the united states. of the last 100 million to join live in europe and asia and showing diversity here. so the scale and growth of instagram is particularly striking in contrast to twitter whose growth has been stagnant. twitter has 300 million active users. and it shows the scale of facebook's family of apps. and instagram is owned by facebook. facebook has about 1.5 billion active users and owns what's up that hit the 900 million active user mark. so massive scale across the facebook family, quite notable as instagram rolls out more advertising. back to you. >> thank you. what is our trade on facebook here? >> facebook is a tough buy here,

only because it had such a rebound off the august 24th lows. right. so if we get a low market, facebook will get hit. twitter the most vulnerable, at this time it is a complete joke they can't find a ceo and execute that and let alone anything else. and to me that is more vulnerable. >> that t has been 100 days since it had a permanent ceo. >> twitter. >> yeah. >> but facebook -- i know we're saying 18 and 20 and the s&p and we're bearish on the broader market and facebook at 35 times the forward erpgs is not expensive. i know dan will disagree. they have so many levers to pull to generate earnings and revenue i think it is a cheap stock. i know steve will say 70% go down with the broader market but i will say that it has face value.

>> facebook went from $96 down to $72. we make it an important data point to tell you, make your shopping list. and facebook should be on it. it is right back to the levels, almost back to the levels, $92. we are talking about par again. $100 on facebook. >> you are right. >> real quickly on twitter, though. >> real quickly. >> 100 days no ceo. but these guys are focused on what i think is this election coming up and the offline debate will take place on twit and not facebook. they are getting ready to be monetized so the new management or maybe it is adam bane, i think they will hit the ground running. so it doesn't make sense to get bearish on twitter right here. >> the next time you do that you should use voices. >> the way to -- i want to point out to our "fast money" viewers, very bright. we're talking about 100 years of solitude by gabriel marquez.

excellent book. i encourage you to read it. >> i'm moving on. let's talk go pro. nick woodman coming out swinging against barron's piece calling it a one trick pony, take a look to what -- at what he said this morning. >> i've been hearing that for 13 years since i started go pro. and i think we've done a terrific job of growing an eco-system of products that capture the world like never before. from the five cameras in the last 11 months so the over 60 mounts and accessories that we make and the eco-system of third party product developers that have sprung up, including apple watch that is part of the go proeco-system and we're a part of apple's. >> dan. >> so without nick woodman, this stock would be at barron's target. he is one of the best assets the company has. and he is a visionary.

and he said 13 years. who knows if they have another 13 years. and i don't like the story or the product and i'm not certain they are anything other than a little camera company. but for all of the people who wanted to tell you how expensive the stock was. it is down 50% on the year. it is trading at 60 times next year's expected earnings and three times sales. so if they can hit those numbers, it is a cheap stock. i'm not saying to buy it at $33 but in the next down-draft it is probably worth a crack. it is not going to fall apart in the quarters and nick woodman is the man. >> and in the holiday season, we have how many cameras were under the trees or in stockings. >> you could. but the gross stocks become cheap for a reason and they lose the luster. so yes, we're coming into a seasonality where it behoves them but it is lower forgo pro.

>> up next, a overlooked comment by the fed made oil a top buy. the best big oil plays ready for serious gains. you're watching cnbc first in business worldwide. in the meantime, here is what else is coming up on "fast." >> total recall. not that recall. but we are looking back at some of the most famous company recalls in history. and if those stocks have offered hidden buying opportunities under knowledge all of the bad press? the answer will surprise you. plus, can you tell the difference between these two pictures. one was taken with the iphone 6 and one with a brand new iphone 6s. can you tell the difference? it could mean money for apple investors. and we'll reveal when we come back. flexibility. it's where great ideas and vital data are stored. with centurylink you get advanced technology solutions from a trusted it partner. including cloud and hosting services - all backed by an industry leading broadband network

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hillary clinton moments ago announcing her plan to reign in drug prices. mel terrell has the details. >> she laid out the details of her plan. yesterday calling out pharmaceutical for price gouging and said anybody company that buys a drug doesn't tweak it and raise the price is doing that. in her speech she focused on direct to consumer advertising

and that bothers she and that is something she will try to reign in. and she said not all pharmaceutical companies are price gouging and they do deserve to charge a lot to drugs that are through break-throughs but take a listen to what she said. >> it may make sense to charge a lot of money for a drug, but when a drug has no competition, when there aren't any other treatments that can do what it does, pharmaceutical companies can charge astronomical fees, far beyond anything that it would take to recoup their investment and far beyond what they charge consumers anywhere else in the world outside of america. it has gotten to the point where people are being asked to pay not just hundreds, but thousands of dollars for a single pill. and i can tell you that is not the way the market is supposed

to work. >> so some of the ways clinton will fight this is by giving medicare the ability to negotiate on drug prices. also to incentivize research over markets, including the direct to consumer ads, and allowing the importation of drugs from other countries where they are cheaper as long as they have the same safety standards we do and to expedite those pills already in place and for biotech drugs where they have market exclusivity for five years and that is something bothering them because they worked hard to get those 12 years. >> and she could charge companies like valiant and not spending the company in r&d and requiring the money to devote toward research. are you concerned that people are getting concerned about that in biotech.

>> i think companies with worried about valiant and raising and prices, but focusing on companies that spend more on marketing than research and she's going to hone in on companies that get forward tax breaks and are spending that on marketing and not development and valiant is famous for not doing research and development. >> and the ipp did bounce. i guess that is an encouraging sign. i don't think we'll get back down to the august 24th blg low which i think was about 288 give or take. but i think we'll retest the 320 level. gilead, on 14 million shares, typically trades 10, it up on the day. although i still think it is under pressure because the rhetoric will continue and it is shoot first and ask questions laettner biotech. >> going down to the chain to the kind of companies impacted

by hillary clinton, you take a look at the hospitals -- the insurers today. and they traded better than the over all markets. you look at etna and humana, because they get the power to negotiate. >> they have the power to negotiate. and let's look at everything involved. hospitals, you see some m&a activity in hospitals. but getting back to ibb, if you see the top four holdings get pressured, those are companies that are not battling with what hillary clinton is talking about. those are selling at a discount. would you be a buyer ohose companies. >> and let's talk about the xbi, which is the smaller cap. and that doesn't bounce as much as the ibb and you have gilead and others close up on the day so a big reversal. this is a sector that is bubblish. and fueled by the cheap money in the system and we've seen a lot of m&a and if you don't see the xbi get back on the horse you have a problem. to me there the level is $70 and

if it breaks there you lost one of the biggest bull markets in this market. >> thank you. and we're hosting the next republican presidential debate live from boulder, colorado and that is the same day at the next fed meeting. coming up. what do johnson and johnson and merck have in common. big recalls and stock moves. how those stocks responded to the bad news and if any presented a hit in buying opportunity. and plus facebook, amazon, netflix and google, the fang stocks getting defanged but one of them might be a buying opportunity right now. much more "fast" right after this.

welcome back to "fast money"m a rough day on wall street. the dow dropped more than 170 points in today's session. though it has been down nearly 300 at the lows. the nasdaq was down 72 points, the worst day since september 1st. crude falling today. down 2%. here is what is coming up in the second half of the fast money. the pope's visit may delay iphones but don't worry we have a sneak peek here at the nasdaq. which feature has one writer calling the phone a performance

beast. and later a kick in the teeth, facebook leading the decline, is this a buying opportunity or more pain to come. we'll give you the trade. but we start off with the growing fallout from the volkswagen emissions scandal. the stock getting battered closing down more than 15% and it could be the tip of the iceberg. phil le beau is here with more. good to see you, phil. >> it has been a busy day, people following volkswagen and the ceo martin winter korn. his contract is up on thursday and the board is meeting tomorrow and on friday. there is great speculation, especially in europe, that the board will say, thank you, martin, it is time for you to move on and somebody else to take over the company. and that is as we see the investigates continue to mount. you have the d.o.j. and state attorney generals are looking into what is happening with the emissions issue. and you have foreign governments investigating what is happening.

and you've got -- oh, the environmental protection agency. they started it all. and that is the reason why we look at shares of fiat. it is continuing to be under pressure. in europe folks are saying wait a second, diesel is a huge part of the market, what will happen given the fact we have 11 million engines with a software issue and you have $7.2 billion charge in the third quarter. >> is there any thought there could be an impact on automakers here in the united states? >> no. at this point there is no indication that this is an issue other automakers are engaged in at this point. because in the united states, it is specific thatee at chrysler had a defeat device in the software for the vehicles. they came out and said we rigged these to pass filter tests so te fiat specific so far. and there is no indication that

automakers have done anything different. >> and does this accelerate the process at all. >> it could. when you look at what is happening for volkswagen right now, they would love to -- they would love to have a greater presence in the u.s. where do you go? you go to sergio marchy own and say let's get together. and you the peach family and certainly i yes, the issues that need to be worked out. i think they have so many on the plate -- so much on the plate, i don't think they are at that point right now. >> phil, good to see you in person. >> cnbc royalty. >> >> oh, absolutely. >> i think the important thing -- everything will look at volkswagen and go immediately to the dax and say the dax was down 4% today it has to be all about volkswagen. specifically today that is true. but the dax has been underperforming for quite sometime. b.k. talks about this. you have to wonder, is there

anything brewing in europe. 9500 to me is the line in the sand. we're right there. it absolutely has to hold that low. >> dax is down 22% from the high this is year. >> right. so remember, you have multiple, multiple car companies, the germany the biggest exporter and china is the largest market. so if that is slowing and then europe will slow and everything else will slow down the line. and in terms of the car thing, it come at a worse time for the car companies in general. because what investors are starting to think that the sales are starting to peak and roll over. so the sentiment on the street is very, very bad. >> let's stick with recalls here. we looked at three companies that have seen big gains since announcing product recalls which begs the question are recalls a actual buying opportunity. dom chu is breaking that story down back at headquarters. >> so melissa, gang, it is all about specific circumstances. but we decided to pull three of the more memorable ones, the ones people may recall.

let's stick with cnbc royalty and phil le beau and talk about toyota. not so long ago, in the early part of 2010, you are talking about a company, and a stock, that had the accelerator pedal issue. they get stuck. there was some dissented. tragic accidents there. and the markets punished them. one month later the stocks wur down 21%. a year later, the stock was still down 9% and since the recall, they have managed some gains, up about 29%. the market has done better during that time period but it did rally back a little bit. mostly because it has been trying to damage control around those situations. another one to talk about here as well is on the drug side of things. we've been talking about pharma and biotech. remember merck, and vioxx, and that recall was back in september of 2004. shares were down 5% one month after that and a year later they were down 18% and since then up 53% so it has rallied back.

and one more drug-related one as well. this was interested. you may recall johnson and johnson which owns tylenol brand had a number of pain related products recalled voluntarily as well in april of 2010 and they are up 40% since april of 2010. so when we talk about recall, it is not the generalizations but it is how company management responds to it and how they damage control it. some do it better than others. and by some of the performances, we can see those bearing out in those stories. back over to you. >> thanks dom chu. and you have to throw in bp. there are key differences in each of the stories. the bp one, it got prolonged they couldn't contain the spill, et cetera, et cetera, it was drawn out. >> and let's look at toyota. besides the auto industry, they had the bank of japan weakening the currency and so it got a

tail wind from that. and maybe a similar situation with the fiat chrysler and you'll have a week euro which could help some of these. but there is some similarities but you have to take it into context in what is going on in the world. >> and could you bay volkswagen could be a buy. and it is a good point in terms of the easing and this hasn't killed anybody. >> and the biggest takeaway looking at dom's stocks that he pointed out and the charts, you're in no rush. there is no urgency to buy the stocks. they take years sometimes to flatten out or to stabilize. so i think it is obvious when they are ready to take back off or take off again. i don't think you are in a rush to buy them. i would not be a buyer of it. >> the ceo's contract ends on thursday. >> bye. seeia. i don't think you step in before. the epa will be all over this and if european gets all over

it. and this happened in the emergence of massive global market and they got bailed out. if we were in part of the cycle, volkswagen is toast. >> let's move on to commodities. our next guest said it could provide a benefit to oil. jason, it is great to see you. >> well, i think broadly, if there is a rise in interest rate it pushes up the dolr and oil trades negatively with the oil because it is a dollar price commodity and it is less expensive in the rest of the world. >> and i'm curious on the thesis. because we've seen the dollar rise and hold firmly particularly against the euro, after the fed here. so it seems to me that there might be something else driving oil. because oil has actually held up fairly well, despite how strong the dollar is. >> it has.

i guess over the last couple of weeks. but we're really in a situation where we're structurely oversupplies for another year. we're at seasonal trough of demand as well. so i don't think you have a positive oil price driver in the near term. i would say the price signal is working. we are seeing demand grow robustly and see nonopec oil push over and we see a push in prices but not until next year. >> and so you cover the industry jason, what are your top picks. >> right now we're looking at 12-month plays because i don't see an oil price driver in the near term. but we do look at chevron, shell and oxy is providing interesting valuation and company specific fundamentals. >> what kind of price action do you need to see in oil to have the stocks be up in 12 months? >> we think that oil can go into low 60s in the first half of next year and push into mid-60s

in the back half. i think that is enough of a price driver to get the sector moving and again with the companies having some specific companies with specific drivers, outperformance there. >> jason, good to see you. jason gam el of jeffries. >> thank you. >> what do you think of his picks? >> i think right now oil is any a down trend and i don't think it has bottomed out. oxon is on that list. and it also trades at 18 times closed earnings. i think it means the stock is still going lower. so i still think, 12-month time horizon, that is great. i don't have a 12 month time horiz horizon. i think they still go low. >> are you long dollar. >> long dollar and oil. >> they don't have to be. >> and they are not necessarily right now. so there are a couple of things driving oil right now. we've geopolitical issues.

and number two, we are coming into this a period where oil companies will reflect debt and cut production and we're already seeing it in the rate counts. this is just for a trade. i think oil has another leg lower but this is over the next month. >> still ahead on "fast money," facebook, amazon, phoenix and google taking a beating. and which you should avoid. and the moment you've been waiting for. the man there will give us a first look at the new iphone. and we have a special test in tor to see how it stacks up to the old model. the big reveal is next after the break.

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well we have it. it is here. the new iphone 6s. mashable's editor at large is with us to look at the new apple product. lance, it is great to have you with us. what is your over all take of the phone. there is a review that said the s stands for slightly better. on a scale of 1-10, what is your number and the best feature about the phone. >> i think my number is an 8 or 9. it is a very good phone. one of the best, if not the best smartphone on the market between the iphone 6 and the 6s plus. they are good products.

and they are not hugely or vastly different. in fact, at a glance, this looks just like the last model. slightly bigger. slightly bigger and heavier. but a lot of innovation packed inside. 3-d touch is one of my favorite features. very excited about that. peek and pop. i can sit there and this is a quick action i can do here but i can also in my e-mail -- well i didn't want to do that, i can sit there and hold on something. that is a peek. that is a press, that is a pop. that is all baked into the screen here. so while you're seeing something that looks the same, underneath there is incredible technology. and a 12 megapixel camera. not as much as the samsung. but we're shooting 4-k video. this shoots the video and i edited it in here. and even did a picture in picture video with two 4-k streams. this has so much power, it is

mind blowing if you know where our phones have come from. >> right. speaking of the camera. we wanted to test that function on the iphone 6s so before the show we gave guy the old phone and here is a side by side selfie with the new phone versus taken on the older model, can you tell which is which? >> i can tell. >> you can tell because you took the picture. >> maybe i can show you on here. because here is one of the photos -- i'm going to do something and if you zoom in on this, you'll see this, are you watching? i'm going to put my finger on this guy. and when i do, you'll see what is called live photos. so you see what happened a moment before and after the shot. >> did they kiss? >> no. i think they were going to kiss. >> watch this one. here is a lot of movement. because basically live photos captures a couple of frames before and after the photo. every single megapixel photo has that and you can share it and

share it across macdevices. that is a give me. not the hottest thing. not like 3-d touch. >> so which one was shot on the new phone? >> the one on the right. >> it is a better photo. >> also it has what is called the retina flashes which flashes -- the whole screen turned 3 x times bright white that it can't do normally to light up the scene. so these are the kind of things where you can't just say it's right here. you won't see it. they have to tart to use it. >> wnd' had guy, we put him through the ringer today, test out the video. here is guy walking through the set with the new phone an the older model. so which was shot on the new phone? >> watch your head. boom. >> any guesses? >> i'll go left because the other one was right. >> oh, that is lame. let's reveal. >> let's reveal. >> there you go. on the right.

i thought it -- it looked brighter. >> and there is so much finish. when i'm playing that back on here, can i zoom in while it is playing back because there is a ton of in flexion. these are heavy duty videos. raise your hand if you have a 4-k tv at home. so that is sometime. this is a really federal leaning technology but consumer will want that because the optical image stabilization on the camera is a big deal. but of course there is rose gold if people care about that. >> sexy. >> rose gold. >> and paris hilton, watch and listen. see that. >> lance, thank you. lance, of mashable. you are in the market. >> i'm in the market for a new phone and this seems pretty decent. right. i don't know. i'm not sure i would -- the camera to me, okay fine. i couldn't tell the difference between 12 and 16 megapixel and the only thing i teshd to see -- tend to see is dan is a skeptic.

>> what model do you have now. >> i have the 3 g. >> i want the trade though. is this enough in your view -- no. >> no. i have this one coming on friday and i'm excited about it and lance was talking about a lot of new futures and they are incremental. so what do we focus on as apple as an investment going forward, we have to talk about the upgrade cycle. i don't think there is anything that is line worthy. >> but it doesn't almost not matter. b.k. is a five and he's going up to grade to a 6s. >> it won't accelerate over last year. and what is it doing in china. they are bought their 6-plus and i think it is incremental. >> coming up next, as the fapg stocks get hit hard, which one represents the best buying opportunity right now. and later on this week, what disney did to media. dan nathan lays out the trade.

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here at td ameritrade, they work hard. wow, that was random. random? no it's all about understanding patterns like the mail guy at 3:12 every day or jerry, getting dumped every third tuesday. this happens every third tuesday. we have pattern recognition technology on any chart, plus over 300 customizable studies to help you anticipate potential price movement. there's no way to predict that. for all the confidence you need. td ameritrade. you got this. welcome back to "fast money." a news alert here on harvard's

endowment. it is up, at least reported up 5.8% for the fiscal year ending this june 30th. again up 5.8%. that was the worst performance since 2012. the worst performing assets were -- and the plus in the real estate holdings and melissa, we care about harvard's endowment and the largest and the host of our glorious show, one of the best known alums. >> i don't know about best known, considering the presidents and its out there. but thank you, dom. >> he's talking about you. i don't know. ding, ding, ding. >> take a look at the major fang stocks today. moving on. netflix and google taking it on the chin. facebook clocking it in as the hardest hit among the group. we traded facebook today but in terms of the other, where do you think the trade is. >> i think these are challenged

again. i hate to keep beating on the same drum. but any stocks that are high valleyuation and high momentum, all of these things are broken in this environment. doesn't mean they are bad companies or at some point in time they can't go higher, but at this point they are toast. >> up 70% year-to-date, and the management time, and we know who i'm talking about, has made it able to switch around the chairs to make it better as far as growth is concerned. >> you said facebook so how about the others. >> i'll do the fang and put them in order it. would be amazon, facebook, netflix, google. that is how i would stack them up. i don't know it doesn't spell anything. >> whoa, what about the drubbing phoenix took at the emmys the other night. my goodness. and when you think about original content, to me, i think that could be a change for

netflix. >> i'm going to switch gears here. nike set to report earnings and some with expecting big moves through the stock through the end of week. dan you're at the smart board. >> after the close on thursday, the options market is implying a 5% one-day move on friday, the high of the 4.3 average move over the last four quarters. you look at the closed at $116 today and that is the put premium and the call premium at the 160 strike offered at about $5. that is 4.3% if you bought that and you would need to move to 121 or to 111 to make even. and does it break out or go back down. to me it has the potential to be a disney moment like in august or under armour moment like we saw a couple of weeks ago. >> and coming up, what the traders are watching tomorrow. stay tuned, right after the break. (vo) what does the world run on?

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final trade time. dan faithan. >> intel. short side. >> 386. >> disney, catalyst with star wars. >> i'm watching black rock tomorrow.

they're going to have a tough time. >> good show. fun showton. i'm watching the ibp. does it bounce off of these levels. i think it may tomorrow but not good long-term. >> i'm melissa lee. thanks for watching, see you my mission is simple. to make you money. i'm here to level the playing field for all investors. there is always a bull market somewhere and i promise to help you find it. "mad money" starts now! hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to save you some money. my job is not just to teach you, call me or tweet me @jimcramer. this morning, my partner david faber, we were doing our mad dash segment as we do every day near the