The One With The Cooking Class - S8-E21
Continuity mistake: The night before they go to the baby furniture store, Ross and Rachel are in the kitchen talking. Just before they leave the kitchen watch Rachel's robe: in one shot the 'lapels' are neatly one over the other, and in the next shot one lapel has moved lower and looks halfway folded over as if she hastily pulled the robe together. (00:03:15)
Answer: Usually by the seventh night of Hanukkah you don't know what to get the other person, and you will probably resort to getting the other person something insignificant. Chandler is basically saying that the pen is a stupid gift.