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Cramer: Unsettling shift in DC rhetoric

(Click for video linked to a searchable transcript of this Mad Money segment)

Cramer has detected a change in the commments coming out of DC. And he doesn't like it.

"I think that until this weekend, we didn't know how intransigent both sides were," Cramer said

However, in the last 72 hours or so, commentary called attention to how unyielding both sides may remain for quite some time.

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"First, we got an article in the New York Times which said, "the confrontation that precipitated the budget crisis was the outgrowth of a long-running effort to undo the Affordable Care Act, since its passage in 2010 — waged by a galaxy of conservative groups with more money, organized tactics and interconnections than is commonly known."

Because the opposition is so well organized and funded, "I believe these people would be perfectly willing to unseat any Speaker of the House who compromised on this issue," Cramer said.

Therefore John Boehner may have his hands tied. "I don't think he has the votes to stay Speaker right now if he gives in to President Obama, Cramer said.

Also, Cramer said on the Sunday talk shows, Democrats made it very clear they will not negotiate. Then on Tuesday President Obama all but confirmed the acrimony when he said, "We can't make extortion routine — democracy doesn't function this way."

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Cramer thinks all the reports and rhetoric smack of urgency if not fright. "The conversation has changed and changed dramatically."

"We must now realize that there's no way out if everyone sticks to his guns," Cramer said. "We must now go from thinking that a default is impossible to thinking it's squarely on the table."

Looking at the price action in the stock market, Cramer thinks Wall Street didn't fully digest the situation at hand – if it had declines would have been substantially worse.

Not until the market sells off sharply, does Cramer expect lawmakers to begin to stem their differences. "Until such as time, I expect more declines and more pain ahead."

In the meantime, Cramer suggests watching developments, carefully. In situations such as these sometimes the most subtle developments are also the most serious.

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