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Stop Trading!: Buy Staple Stocks in This Market

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Published: Thursday, 1 Nov 2007 | 5:22 PM ET
By:

Web Editor, "Mad Money"

With the Dow Jones Industrial Average down over 200 points, investors should focus on staple stocks and exporters, Cramer said on Thursday's Stop Trading!.

These are the themes that continue to work in the face of a tough market and the weak dollar. Cramer recommended Altria , Coca-Cola and Pepsico and businesses with strong exports. "It's the domestic economy that's really hurting," he said.

Companies like MBIA that are using employment numbers to gauge the economy's health are making a mistake, Cramer said, because that metric is "the total false tell. The price of a house has been a better indicator."

Cramer made two quick stock picks to end the segment. "I like Carnival better" than Royal Caribbean, he said. And he thinks NCR will initiate a buyback after the Teradata spin-off is complete.

Jim's charitable trust owns Altria.

Questions for Cramer? madmoney@cnbc.com

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

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The same goes for businesses with strong exports. After all, it's the domestic economy that's hurting, Cramer said, not markets overseas.Investing can be confusing. Luckily, Cramer has mapped out some road rules for all you Home Gamers trying to navigate the jungle that is Wall Street. Think of it as "Mad Money 101" –- some fundamental advice to keep in mind as you play the market. Whether you're a first time investor or a seasoned financier, it's always good to remember the basics.
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