CNBC's "Fast Money" JPMorgan Warning Sends Shares Sinking, and a Pairs Trade in the Retail Space 12/8/25
Dec 9, 2025
Tim Seymour, a seasoned investor, discusses JPMorgan's alarming expense forecast, prompting a deep dive into its effects on the banking sector. Dan Nathan sharpens the focus on Walmart, emphasizing its Nasdaq debut and bullish outlook despite market turbulence. Chris Verrone presents a compelling retail strategy, advocating for a long position in Walmart while shorting Costco. Leslie Picker highlights AI spending by banks and investor concerns about ROI, urging listeners to consider the implications for future investments.
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Big Bank Spending Signals Industry Shift
- JPMorgan plans $105 billion in 2026 expenses, signaling aggressive growth investment over cost cutting.
- Leslie Picker notes this spend may force peers to raise expenses to compete for talent and clients.
Buy The Best Bank On Strategic Spend
- Treat JPMorgan's higher comp spend as strategic rather than wasteful and look for top-line growth tied to incentive pay.
- Buy selective bank weakness instead of punishing firms investing to capture market share, per Tim Seymour.
Hawkish Cut Risk To Liquidity Rally
- A Fed cut tomorrow is likely to be accompanied by hawkish rhetoric, making further cuts uncertain.
- Michael Cantopoulos warns market liquidity-driven rallies may be vulnerable if cuts don't materialize as expected.