US stock markets drop as tech companies lead losses


Welcome back to fast money, another dismal day for the markets. The Dow tumbling four hundred points in along with the S and P five hundred racing all the gains for the month tech and consumer discretionary stocks dragging down the Mark with only two sectors in the green utilities ending the best ending the day is the best performing sector. But despite today's sell off guy is looking at one sock that could be poised for year end rally. He's over at the plasma to break down his fastpitch guy, everybody high guy here at the smart board, and we're gonna we're gonna do a power pitch. I didn't have the mid today. Apologized for that. We're going to do Valero symbol is via Zillow and you'll say, what are you talking about refiners have been grim death? And you're right Valero after making I think in all time high of one twenty seven is now trading eighty dollars. That's a significant sell of folks. But you know, what I happen to think the selloff is significantly overdone number to crack for spreads or not nearly as favorable as they were four or five months ago, but they haven't. Totally collapsed yet either not nearly as much as the stock would suggest. So to me the cracks spread is still somewhat favorable. And the last one recent upgrade at Credit Suisse on November first they like it as well. Now, the stock is sold off recently on the back of that. But I think at this level. It's very interesting. Let's put up a chart, please. And you will see as Dan just told me, you know, we're at levels that we last saw back in the fall of last year. So there's a very good chance around in the seventy six seventy seven dollar level where we basically are this stock gets very tradeable. So although obviously has been under tremendous pressure in my opinion, valuation sell off being overdone still somewhat favorable cracks spreads bolero makes sense at this level. We can all see how bad that line line. The line support shins for guy. Tim. I'm actually kind of in favor. I'm this is a t he's to how I'm going to vote. So you might have one vote but talking about either cracks or or the dynamic here where the cheaper oil gets the better it gets for refiners. And remember that they were big outperforms the last time oil was trading it should. And you get you know, this season -ality factor that should actually start to work for them as well. But it hasn't worked out because I think what's happened is people that so much gains in the refiners to soil Valero that I think they're taking money off the table. They're selling first asking questions later. Look the environment is not nearly as favorable. I think to your point, but it's not nearly as dire as this move suggest. So although I think the self is somewhat justified. It's not justified down to this level, eighty bucks

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