Enter multiple symbols separated by commas

Stop Trading!: A Buy for the Bailout

The principle beneficiary of Treasury Secretary Henry Paulson’s proposed bailout will be the most hard-hit area in housing, Cramer said, California.

The plan could spark a “monstrous and quick” return in that state’s market, he said, “maybe even within the year.”

KB Homes , a California homebuilder with a great dividend, would be the play then. Cramer recommended sitting on that payout until the market turns up.

KBH is the “quickest way to make money off this plan, that’s a non-bank,” he said.

Cramer also likes CPFL Energia and its 7% dividend yield as a play on a resurging Latin America. Vale, though, is not a buy until commodities demand in China resurfaces.

GE’s stock-buyback suspension could signal a massive reconsideration on the part of corporate America on whether they’ll authorize such large share repurchases ever again, Cramer said. The practice has done virtually nothing for GE.

Lastly, Cramer said rails company CSX is a good play because there’s little chance of the company cutting earnings, which is more than he can say for technology stocks right now. These secure-earnings plays are what Wall Street’s looking for right now.

GE is the parent company of CNBC.

Jim's charitable trust owns GE.

Questions for Cramer? madmoney@cnbc.com

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

Contact Mad Money

  • Showtimes

    Monday - Friday 6p ET
    Saturday 8a, 1p, 7p SYD
    Sunday 12a, 1a, 8a, 7p SYD
    New Zealand
    Saturday 10a, 3p, 9p NZ
    Sunday 2a, 3a, 10a, 9p NZ
  • Jim Cramer

    Jim Cramer is host of CNBC's "Mad Money" and co-anchor of the 9 a.m. ET hour of CNBC's "Squawk on the Street."

Mad Money Features

Mad Money Moments

Cramer's New Book