how much bad news can this market absorb? there were those scenes on capitol hill, the death toll on covid reached 4,000, a new milestone. >> for next friday we are out of time, "fast money" starts now >> i'm lee lmelissa lee and thi "fast money. bitcoin goes bananas is this record run just getting started or a bubble about to burst? and x marks the spot should you roll into this hot trade. and later they say a picture is

worth 1,000 words, but what about a logo we will tell you about gm. kayla? >> this afternoon president-elect joe biden unveiled the final round of his cabinet picks. he also pulled back some of the covers on his forthcoming covid relief proposal. he said he would be unveiling it next week and it would include -- he said the package would be comprehensive and the price tag would be high. >> it is necessary to spend the money now. the answer is yes. it will be in the trillions of dollars, the entire package, but i will be here next thursday laying out in detail how that

package is going to go the basic story is simple, if we don't act now, things will get worse and harder to get out of the hole >> one element of that package is expected to be another round of $2,000 checks which biden said would be a given if the two democratic candidates in georgia won. they did but they may run into pushback from another democrat. joe manchin who has considerable sway within the senate and was an architect of the previous bipartisan proposal. he earlier he told "the washington post" he would not support another round of direct checks, but he said he would evaluate any proposal as it came and he would be undecided on any

specific proposal until he saw what it looked like noting that vaccines are his number one priority at this point he is one to watch on the hill this afternoon the incoming press secretary said $2,000 checks still remain a priority for the administration >> this comes as wall street sets another round of records. all three closing at all time highs. could this torpedo some trades on the street? a constellation of trades that revolve around it. guy, it is almost foregone conclusion there will be additional stimulus and fiscal spending and we haven't even approached biden's proposal yet and we are getting pushback. >> welcome back, steve

there are a lot of things that can torpedo this, but i don't think this is it manchin is flexing his political muscles and saying i don't know i am voting for it there are a lot of powerful people in washington and he is one of them given the way the senate is structured i don't think you have to be concerned about the market they will ram something through. i think the dollar will go higher and rates will go higher. the trades we will mention in a second, those trades will continue to work >> what is interesting with this statement from manchin, he comes from a conservative state. it was a big trump win this election and last election

i don't know how you parse it, it seemed like his spokesperson back pedaled, but he said absolutely not to "the washington post" and he didn't know what stimulus would get us in terms of getting people back their jobs >> you touched on a bunch of things there guy mentioned he is a powerful person the way the senate lines up now that is true but what joe manchin always does is look for cover. what i mean by that, he's looking to see if there are republicans that will be voting for this stimulus plan so he can say to his state i'm fiscally responsible. having said that, originally when the value play started, they talked about $10 trillion

in spending. we are not talking about 10 trillion in this stimulus package, but i believe there are enough republicans that will vote for this package to give joe manchin the cover he needs plus he's worried about vaccine, worried about all of the check the box issues we are going to see an unbelievable amount of spending. we haven't had a sniff of inflation in ten years you are going to start to get that ten year on percentage base, up 110% since august. we are going to see inflation that we could only dream of. that's why value is going to outperform >> so far grasso and guy say this is a political game, which i buy. but you are the only trader on

this panel who questioned stimulus and questioned congress's ability to get any stimulus through throughout the fall and you were right. >> thank you, i was right, but the market kept going up we had a little bit of an uplift i think what was going on was this anticipation. are we going to have some political wrangling? absolutely we already know this it will be nothing like what we saw over the last four years i don't think. i don't think the market thinks that this is how the so-called sausage is made. but anybody who thinks there is not going to be massive spending coming is not paying attention when joe manchin clarified that, i think he made interesting questions. let's focus on getting people back to work let's foe focus on the vaccine rather than just sending a

$2,000 check i think he's saying spend the money in the right place the market had a blip on it, but it didn't impact i think the market is saying six months from now we will have a lot of spending. >> let's assume we do have a lot of spending, we get stimulus checks, smaller, but does that mean rally on materials, rally on banks, which by the way, for the week they are up 10%, kate >> i think -- i am with b.k. on this one six months down the line what is going to matter is do we have a vaccine rollout people need to go back to work, back to restaurants. we have to get the economy going. i am not that concerned about this issue i think the most important thing is get the vaccine going so we can get the economy moving if we can do that, then these

trades will continue to work >> is that the way you are positioning yourself >> absolutely. >> guy adame, resource trade keeps going? >> resource trade is going to continue to work we haven't wavered on that for a long time. this is something tim has talked about when he is on, for months, if not longer. we outlined why banks work and did it in the form of a math problem. i think we have j.p. morgan a week from today. i think banks rally in that earnings report. i think you stay with a lot of these names into the j.p. morgan release and then take profits. that makes sense if you are looking for the metric, in my opinion, it comes from price that's the only thing you need to look at when they release

earnings next week into the following week >> did it give you any pause about the quote, unquote blue wave trades ripping even prior to the georgia elections, talking about green energy, for instance, evs, infrastructure plays. >> zero. i think joe manchin is a very professional politician and knows how to play his state. i think you are going to see a massive spend across the board there is not a lot of rein that's going to be pulled in on the spending area. for the most part inflation is the ey you have to be a buyer of the banks. rates are moving higher. we haven't seen this environment for such a long time

i don't think people are going to understand how to react to it if you look where we have come from since the summer, the value trade of where the banks are have taken the market by storm people aren't really sure what to make of it which means that it's going to go a lot further than people think. >> brian kelly, i know you like to be a contrarian oftentimes. being a contrarian today would mean positioning yourself forward stronger dollar and lower yield. is that in you at all? >> certainly -- yes, i'm always looking for the bus that i can't see. you never get hit by the bus you can see, so i am always looking for the bus you can't see. i think morgan stanley in the financials are okay. however, as the tenure approaches 2% -- and we are far away from that

i think the fed captureates at 2% which limits banks earning power. so that's where i think it comes in at a yield of 2%. >> kate, you are a contrarian on that you think it's time to start looking out of banks >> i think the banks have gotten long in the tooth. i pitched pnc back in november see how well that stock has done banks, i think you have to be selective. the easy money has been made banks do work, but valuation mat ears -- matters that's my strategy starting next week i would look for an orderly exit from banks easy money has been made >> are you still in pnc? >> i am. >> u.s. steel soaring 9% after

rating from a sell to a buy. seven folds at 28 bucks a share. the stock is now at its highest level in nearly two years. stee steel prices are up almost 70% in 3 months alone. >> i know we only have a half hour did you see the movie "a christmas story" by any chance >> is that the one with a little kid in it? >> exactly >> yeah yeah yeah. >> you might remember in the playground where they go to triple dog dare. it didn't work out that's what deutsche bank is doing. they had a $4 price target and raised it to 28. we have talked about these names

for a long time. i think u.s. steel goes to 28, probably higher than that. all of these leveraged plays work, i shouldn't fricase deutsche bank, but better late than never >> brian kelly >> i am in that boat steel prices are up 70%. all of the good things about inflation happen in the beginning. that's where we are. if you think about it, where are they going to get these sales from from infrastructure spending joe biden said next week i am going to layout the whole plan i think there is more room to run and we will worry about it in 2021. ryo aze on the cptcre.

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money. bitcoin joe bitcoin gaining 33% alone. this is what anthony said last night. >> bitcoin is at least 10x better than gold in every way. if you just take a bitcoin product that is 2x better and market cap follows that, that would put bitcoin at a million dollars a coin >> in case you thought you heard wrong, that's a million dollars a coin we were talking about jp morgan's point on bitcoin. they indicated there has been outflows from gold and into bitcoin so the notion was bitcoin would be the placement are you on board with that because that seems to be the main driver these days for

bitcoin. >> it's digital gold that narrative has taken off just to put a couple numbers around that. gold's total value is about 10 trillion bitcoin is at about 800 billion. jp morgan said if all of the gold came out of gold and into bitcoin, it's almost quadruple from the price we are now. that puts you at jp morgan's price of 146,000 it's not necessarily unreasonable but i think when you have these big upside targets people say i am going to load into it here. i have done that for years, but bitcoin has months where it is down 30 or 40% so you could buy at 30,000 today

and it could go down 30 or 40% >> and we should make clear that anthony said there could be swings, up 20% or down 20 or 30%. >> kate, i imagine you have people inquiring how do you approach that >> honestly, bitcoin is not my joint. i am jealous of the people who are in it. i don't get it it doesn't make a lot of sense to me. if you say crypto currency generally, supply and demand if it is doing that well, it will attract other crypto currencies so i will sit on the sideline >> steve grasso, would you rather, gold or bitcoin? >> bitcoin we are traders and looking for the most outsized performance gains, you are not going to get

that with gold although you can think gold is going higher but when you are looking at bitcoin, yes, you could be down 10, 20, 30% and then it rifles up if you were at the beginning of the year you could have bought all you want below 10,000 and you would look like a hero now the huge take away with bitcoin is it is becoming more acceptable people are starting to understand it more and there are more vehicles you could buy bitcoin through. bk and i talk about this at least once a week. we say what is the best way for an average person to buy bitcoin. so i think clients and institutions are more acceptable of buying bitcoin. >> you can read about this on our website. in the meantime, coming up, gm

gets a face-lift we're excited to do business with you but before we sign i gotta ask... sure, anything. we searched you online and maybe you can explain this? i can't believe that garbage is still coming in. that is so false! frustrated with your online search results? call reputation defender today to join tens of thousands who've improved their online reputation. get your free reputation report card at reputationdefender.com or call 1-877-866-8555.

welcome back to "fast money. gm is getting a big makeover here is a side by side comparison of the logo it's huge. i'm joking it's all caps to lower case, maybe rounder edges.

grasso, what do you think? >> it's a softer side. they have to move to the future, towards the ev side. they have to change. it can't be your dad's or our grandfather's automobile company any longer it has to be a tech company which changed it for tesla and these ev companies if they become tech companies, battery companies, they are not just a hunk of steel any more. >> nothing like lower case to say you are a tech company today is a big show on "fast money. 14 years ago the magic that was "fast money" was borne guy adame has been there since day one. what a ride. >> it's unbelievable we have gotten so close. you have been with us a dozen of those 14 years you do an amazing job.

thanks to mark hoffman who put us in a place to succeed and thanks to the panelists, but mostly thanks to the audience because without them we wouldn't have a show. thanks to everyone it has been an honor to be here. >> thanks for being the og to be here all of these years. it is time for the final trade i'm going to tear up around the horn. steve? >> star peak energy, stpk. it's going much higher in my book >> kate? >> i am going with alibaba, down 20%, problem with china, i think it is a gift >> this is a nice bounce today b.k. >> longer term investment that

will literally and figuratively fly overall of the noise right now, virgin galactic space >> we started this show years ago with mastercard, end with it now. m.a. >> happy 14 1/2 years. don't go away. we have an options trade show to ngn e new years. stay with us

welcome to the first "optionin "options action" of 2021 let's get right to it. it is not just the major indices, everything that goes into everything. commodities are going right along with them. just because everyone or everything is doing it, doesn't mean you should, too carter, what are you