looking for in september is really japan i expect some global stupidity to come out. my mom is going to yell at me for using that word. >> that does it for us. have a great long weekend. "fast money" starts now. live from the nasdaq market site, i'm melissa lee. your traders -- tonight on fast, don't look now, but the fear index is doing something it's never done before and it could be the ultimate sell signal. plus, she's back. hillary clinton unveiling a new plan to keep drug prices low. which health care stocks could see the most pain and later, apple set to unveil a new smart phone, but could expectations be the too low? first, a familiar trade that might be getting hot. staples and utilities rallying.

these have been amongst the hottest traded this year with the fed on hold, should you pile back swoo these trades? >> guy? >> i don't know. the bond market sold off. the back started to get a move to the upside, so the whole thing didn't make sense. maybe it's a one-day thing. gold, which has had a big sell off in august, finally in the bottom. saw a big move in the gold miners. i think you get back in the gold miner, i think that's what the market's trying to tell you. >> i think it is time to get back to those, but they'll go down with the overall market.

levered three times, four times more. i think those trades are safe. >> basically, you agree that fed not going to raise rates at least until december. >> i think that's the way the market is telling us. i was in and out of xlf last week, so i think that's what the market told us today. if they're going to raise -- >> it wasn't a sell off. e look at the financials, banks in particular, they didn't sell off. they stayed and held their own. especially in the face of the move they had. i look at the staple, i would not chase them here. i think they're going to start pricing in december move. >> piled back into them. here's a scenario.

listen, just in the last couple of days, we had weak ism, auto tales, retail numbers here and now, jobs data. we may get to situation, fed funds will start to bleed. low single digits soon. november's not going the happen. if we get another bad print in jobs, bad mean worse, than i don't know, maybe that december thing start creeping in and maybe you want to be back in. >> so, you wait a month? >> we're going get more data points here over the next few weeks. see what the fed's commentary is on september 21st, but about the xlu, the etf that tracks the utilities ip dex, if you get a group of closes above 50, that looks decent there and especially if rates aren't going anywhere. the one thing guy said, it's really interesting. the ten-year treasury yield closed today. that's counterintuitive. zpl the whole session was filled

with mixed messages when you took a look. it was down more than 1%. at the same time that utilities were up. >> do you buy the bank stocks now? with the argument you wait to see would you be long the banks? >> to me, i think that if if you were to get a bumpbl of stronger economic data that was going to speak to a series of raises just remember, last december, fed fund futures were pricing in fewer increases by the end, by this time last year. so, to me, i don't think you're going to happen. if you were in that camp, you do buy. >> so, xlu, xlp. staples and utilities. which ones would you be in? >> i think i'd rather buy the xlu, the etf. >> i'd rather buy the group

versus names. ipg you can have these one offs where you've seen m&a off the table. >> if you're a bir of utilities and staples, are you a seller of financials? in this shoulder period, are you long both? >> interesting. you probably, i can't believe i'm about to say this. you probably can be. but i guess my push back would be at what point, does an economy that's at best sort of marichal are they so focused on fed activity or inactivity. to me at a certain point, i think the fed has lost all credibility. i think if they had done something in september, maybe they'll get some back, but my ge que continues to be what do they see that the rest of us don't because all the benchmarks they've set forth in my within have been met for them to make a

move. >> what would you buy? back to the question. >> not trying to dodge. i think people are getting ahead of themselves but i understand why the market's buying it. they're looking for places where valuation makes sense. you find that in financials. i think the gold market which sold off in a meaningful way this month got back on some series footing. >> high on gold. >> to me, i go back to what timmy says. if that's what your trade is, stick with the s&p and stick with treasuries because they continue to work and even in the pullback today in the tlt, it wasn't that significant. every time i've looked up this summer, the tlt had been give or take a dollar on the side of 140, so to me, the tha one seems like a safe trade. >>. >> i say long the financials. it's a sentiment trade purely.

into some big change. i think you take, you could be long financials into the move on rates and take the trade off. then earnings patter. what we had in the market today were two different messages. i'm asking do you put both of those messages? >> i think you can actually be long both. you're buying the first safety trade. >> i think you can't be long both of them at this point. i think you have to pick which you want, especially when you look at xlf. came out of the financials. i don't know what that dif depd yield was going to be without that this in there because it had to move the needle just a bit. >> all right.

i think that news alert on carl icon. let's get, actually, he's not ready yet. we're going to don chu. >> all day long, that glioworks, from dusk till dawn. >> friday before labor day. he's ready now i'm told. >> i am. in the news room. >> we've got stuff to sort out. feels like a friday before a holiday weekend, but it's not because it's something we've known a little bit about. in this case here, we've got carl icahn in a regulatory filing saying he's purchased a little over about 307,000 shares wort of herbalife and he purchased it, about $18.5 million worth. the purchase price was 60.39 or there abouts for again, a total of about $18.5 million worth of stock. it happened on august 31st. 2016. regulatory filing hitting now, so it bripgs it higher the herbalife. only because the back and forth

we've heard for the past week or two with regard to big ackman, the shopping around of shares possibly to carl icahn, maybe he's not. but still in a regulatory filing, buying abo307 shares. >> this is separate from the share purchase that he made this week? >> no, this is the one that happened. >> the filing. >> correct. >> if it's the same purchase, thank you. see that little tick higher? up 1%. that's why i said it's up 1%. sfwl there are those that read headlines an when you see that filing, they don't know it's the same. they react to it. >> period. >> herbalife. any -- zpl look, that's a name

i'm not going to buy here. there should be some accountability. it'sry lick douse to have these statements. the claims become false. again, it concerns me, i wouldn't buy the tok. coming up, hillary clinton inveiling a new plan to stop health care companies from jacking up prices. which stocks could get hit the hardest? plus, this space x rocket explosion yesterday, basically what tesla shares have looked like this week. how low can they do go? and as the vix and the vix is doing something it's never done before. could there be trouble for the rally? much more "fast money" straight ahead.

enis really built into theat foundation of the company. whole foods market is engaged with pg&e on many levels, to really reduce energy and reduce our environmental footprint. for a customer like whole foods,

saving energy means helping our environment, and we can be a part of that. helping customers save energy is a very important part of what pg&e does. we can pass those savings on to the environment, the business, and the community. pg&e really is an expert in saving energy, and that partnership is extremely exciting. together, we're building a better california. welcome back. hillary clinton unveiling a new plan to curb drug prices amid

the controversy surrounding mylan's epipen and it could mean trouble for some of health care's biggest players. hi, meg. >> hillary clinton coming out with this plan specifically talking about epipen, which she calls unjustified prices. specifically products that have been on the market for long available drugs, drugs that be that have been on the market for a while. what she would do is create this consumer response team that would monitor prihikes. they would have the power to -- by importing drugs from canada or trying to speed drugs to market. they would then have the ableily to impose fines. this comes almost a year after she introduced her original prescription drug plan. basically, the day after martin slely kind of blew up in the news. so, this is kind of spooky investors today and if you look at specialty pharma stock, they were especially hard hit. down about 4%. jazz and valiant down as well.

these are some names that we hear about a lot when people talk about ib increasing on older products. often the talked about as the business model of specialty pharma, but concern is that this could increase scrutiny over more innovative drugs. if you look at the top drugs, gilead's drug, you have -- even though it was only approved maybe 15 years ago. the price has increased quite a wit over that time. and people say as these cost so much money, this could be something that helps the plan to take a look at. you look at ivb. people trying to justify this news. there's a lot of uncertainty here. investors never like that. >> we sper viewed amy globe char today on "power lunch." i would would you advocate going

through every pharma company and seeing how much the price increases. 400% is too much. 300% is too much. no clarity on actually how this would be implemented. >> i think it's a lot of noise. we have the washington research group, a policy firm we brought in and they put on today, late in the day, close to 4:00, where they talked specifically about this and the impact in pharma and they think it's a nonevent on pharma. it's a sentiment possibly, more probably in the pvms, less on pharma, but i say it's a lot of noise. the only thing, you think u about price changes or the fees and what have you. they need congressional support for that. they're not going to get that. we're not going to be able to have that as a as a tool in her tool box, so i think it's a lot of noise and political posturing. i don't think it has an impact, but i think the drug traders, the guys that trade these name, have their heads arn the fact that it is noise and rhetoric.

maybe the pvms with something you should be careful in. >> it seems the thing people go back to is that congress can't get anything done. we have seen notes from washington research groups saying well, wouldn't be until next year and then who knows. >> thank you. just quickly on this trade, i would agree that probably nothing gets done. i think a lot of people would agree. doesn't matter. >> but it matter if you want to trade these stocks. it's rallied unabated until recently. hillary clinton who has said nothing about pharmaceuticals for the last moncouple of month back in the fold, stocks sell off, take a look. value i guess doesn't matter, but it is cheap on valuation. stock has traded off most of this year. around 115 or so o in january. close to that now. if it gets there, i think it's worth a shot on the downside. >> tesla's rough week, kicking

off to have trades. down 1.5% today. breeking below $20 for the first time since june when tesla announced its plan to buy solarcity. this week's plain in the stock comes from this explosion. the rocket yesterday. as a regulatory filing which indicated some were reluctant to put money into solarcity and then a week later, 80% of the bond offering. >> i think if you're invesing in tesla, you're -- what he wants to do, space x or change the electricity grid, i think you have to come down to the fahees going to push the envelope. if you're interested in tesla, the stock is down from 260 over the last two months here. cost average it. not with a short-term title rise and i know trade it baize it moves all over the place, but you have to look ten years out because ultimately, space x is going to be folded into this and

you're going to have patience and a high risk tolerance. it's not a stock during the next crisis that's going to do well. that's a fact. because of the leverage. >> he might be dead on on his time horizon. relative strength index. this stock really reacts pretty well. bounces aggressively once it dabbles with that estate. so, look for a weaker cell. that's my time horizon. if you could see the stock bounce in a week, you're probably going to be rewarded aggressively. >> are you saying buy now, three day rule, that doesn't apply. >> this is like a three day rule was a huge gap. >> this is where the stock usually bounced. 187. i had my balance as 190 down from 205, so you're right in bounce zone. still ahead, crude getting

flushed by 7% and that could be more pain ahead for one group of stocks. you're watching "fast money" on cnbc. here's what else is coming up on fast. the only thing we have to fear is fear itself. >> well, maybe more than that because the fear index is doing something it's never done before. and that might be your sign to sell. we'll explain. plus, with college football season, we are going for hail mary stocks that could put your portfolio in the end zone when "fast money" returns. where, in all of this, is the stuff that matters? the stakes are so high, your finances, your future. how do you solve this? you don't. you partner with a firm that advises governments and the fortune 500, and, can deliver insight person to person, on what matters to you. morgan stanley.

a quick clarification on the herbalife news. >> melissa, before, it appears

as though the 306 odd thousand shares worth of herbalife that carl icahn has disclosed purchasing on the 31st is different and separate from the larger 2.3 odd million shares purchased back on the 26th. but that larger purchase was in the wake of the bill ackman comments and what not, but this one here appears to increase his stake from about 19.3 million shares total to about a little over 19.6 million shares, so this is an incremental purchase. not as large as the first we heard on the 26th. still, may p one of the reasons why the stock is moving a tick to the 300 some thousand share. zpl shift from herbalife to college life. let's call it a sophomore's time for winning schools at 128 division i programs for vie r for a national championship. being the best team can be

costly. eric chen breaking things down at the nyse. >> that's right. day sukts winning could hurt ticket price. tiktss the university of alabama football games have fallen 14%. after winning last year's national championship game and ohio state tickets dropped 17% after their win two seasons ago. why? discretionary spending exhaustion. with all this success, it's hard for people to spend more money going forward because many kids have spent so much to see their team win it all and it's not just college football. where we see this trend, the patriots saw ticket prices fall after their super bowl win a couple of years ago and then the l.a. kings tickets, they dropped, too, after winning the stanley cup. doesn't apply to things like

merchandise, sales an recruiting b thu this is one of those results where you think winning would raise ticket prices, but seems like once the teams have won, fans aren't as hungry as success. you make more money by being a loser. a. >> a small froup of fan, but the same group of people. >> it's better to be a good team that's contending, but never wins because wouns you win, everybody's atz satisfied. >> ice, ice -- what's the big game in what are you watching? what are you watching? zpl i'm from l.a., so i thaug of the ucla, bruins. they got that good quarterback. i think we're going to do well this week. >> ask him a question, answers a question. >> clearly. ♪ >> eric, thank you. >> you got it.

>> okay, in lieu of final trade it is, we're geing amped up for the kickoff of college football this weekend. aren't we? hitting if field for a kouchl hail mary stock, these are long shots that could pay off big. jet blue is down 30% year to date, but if you want to take your time and be cautious, the momentum indicator, it's the 20-day average. >> as a football player. >> this is a hail mary for me. i don't usually pick a name like this. lulu lemon, the stock broke down. technically, looks like it set up well. it's right in the sort of zone where it broke out in the past. from past highs. so i look at the highs, the set up near term looks dpraet and i look at this in the gross market picture, improving. >> david was on her softball team. >> yes.

>> twitter. i know there's a lot of news this week. i don't think you buy it close to 20 year. too much to the downside. that's your long shot. >> options action kicks off after the break. ♪ [cheering] ♪ the highly advanced audi a4. ♪

live at the nasdaq market site. the band is back together for the first time in a long time, so while they're getting ready, here's what's coming up. >> up in if sky. it's a bird, the it's plane. zpl nope, just a potential new iphone and we'll tell you what that could mean for shares of apple. plus, it's back to school. >> hey, boys, here's a couple of pens in case you learn how to write. >> that could mean a time to buy one dow component in particular. we'll ek plain and -- zpl ♪ >> i'm afraid, all right? want to hear me say it? >> and for good reason, rocky, because the vix is