Jim Cramer has an interesting and desperate article up on RealMoney.com. You have to pay to access it, I don’t know why people would pay for it. Here’s an excerpt:
…This strategy, which I presume will not be adopted, but which makes the most sense, would allow for shotgun weddings for all the weak banks to eliminate the bleeding. Without this kind of action I am reverting to a downside target of 6,700 for Monday and then 4,700 for Tuesday in keeping with the hopeful ’87 playbook.
Wow. On a day when Cramer was predicting a total market crash, Gio went surfing the DOW’s biggest point gain in 21 years the next day. Anyway, here’s more of the article…
Why am I so negative? Because the forced selling is just beginning, the only people being margined out now are the most stretched, and in the ensuing weeks we will discover that most annuities cannot meet obligations as the piecemeal nature of the insurance reports will inspire even less confidence than the government.
That means we are not in a “fear itself” moment, because the losses haven’t begun to take their toll.
The newspapers are filled with stories saying there are buying opportunities and stocks selling at incredibly discounted prices. They are incredibly discounted only if unemployment does not skyrocket. My take is this: Without a comprehensive worldwide plan you should still be thinking about buying only small amounts into desperate selling tomorrow, and then Tuesday commit more into what could be a concluding gap down.
Finally, Intel beat after hours. Maybe that will crash our market.
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Has anyone seen the ad that Fox Business News is running on CNBC where they rip Cramer to shreds? It calls him out and gives specific examples of his bad calls (i.e Bear Sterns, Wachovia, and sell into the crash, etc). There is NO WAY cnbc knows that its being run on their network.
“They have no idea”
Greatest commercial of all time.
cramer is a total fascist.
Mike I saw that shit this morning and almost spit my oatmeal out. I cannot believe its running on their network, atleast here in Chicago markets it is.
Cramer can be a doofus, that’s been established. But is his Dow 6700/4700 scenario completely off the table? Paulson just wrote these banks a check – there is no guarantee they’ll lend it. They’ll probably use most of it to shore up their books. The Libor isn’t back at 2.7, and if it isn’t by next Monday we can re-test the lows and run past them with some insurance bankruptcies, GM unable to find a merge partner, Boeing on strike, etc.
Have some laughs at Cramer, he deserves most of it, but he may miss this one by a week or three and still be right.
I will say that cramer = blind squirrel. The market is going down, but not for the reasons he espouses. This market isn’t worth jack, maybe 20% what they claim. Try to squeeze a trillion dollars out of this market by selling equities, it can’t be done. Will the last one out please turn out the light?
He only knows a bull market… That’s it… He should be fired. Anyway, i was happy to keep my puts in play with the only regret not strengthening them. i really like HOT puts with earnings out soon. MSFT puts were regrettably on fire today (because i didnt add to them either.)
Many more bad news awaits.