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Stop Trading!

Tuesday, 24 Jul 2007 | 8:05 PM ET

Twenty-seven out of the 30 Dow stocks don’t need the bond market, despite what you hear, Cramer said on Stop Trading! today. So he’s just not willing to say sell everything because bonds are less than stellar right now.

Stop Trading!
Mad Money host Jim Cramer shares his stock picks with CNBC's Erin Burnett

“If you’re going to freak out and sell 27 out of the 30 Dow stocks because of the bond market, it’s because you’ve never done a stitch of homework about those 27,” Cramer said.

Cramer lived through the Michael Milken junk bond market of the 1980s, and he said that was one of the best buying opportunities he ever had.

Yes, the financials are “awful,” and JPMorgan Chase is a short, Cramer said. Housing is just as bad (“I would be buying puts on all the homebuilders”), but “I just want to distinguish who needs the bond market and who doesn’t,” he said.

Cramer’s strategy: Find those companies that aren’t controlled by bonds. The broader market may go down, but he believes profit-making stocks can still be found.

Finally, anyone who owned Apple from $90 to $140 and didn’t take profits, “Shame on you,” Cramer said. It’s no surprise the stock came down; the expectations were too high. That’s why for last Friday’s Game Plan he recommended selling it. He still likes Apple long term, though.

Questions for Cramer? madmoney@cnbc.com

Questions, comments, suggestions for the Mad Money website? madcap@cnbc.com

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