GO
Loading...

Cramer's Outrage: The U.S. Treasury

Tuesday, 4 Nov 2008 | 7:16 PM ET
Cramer's Outrage
The Fed and the Treasury are now picking winners and telling us about them beforehand, with Mad Money host Jim Cramer.

Cramer can’t believe the speculation that the Treasury might invest in CIT Group, a company that’s missed its earnings for the past six quarters.

Forget about how bad this company is. The problem here is that the Treasury is basically calling the stocks it plans to save, giving investors a chance to get in on the action. So much for overconcern in Washington for moral hazard.

“At this point, the Treasury is literally giving the money away,” Cramer said.

Who’s next? Domino’s? Motorola? Sprint? These three are struggling just as much as CIT .

“This may be pro-business – it’s definitely pro-shareholder as anyone buying CIT here has been practically guaranteed a win by the Treasury Department,” Cramer said, but none dare call it capitalism.”




Questions for Cramer? madmoney@cnbc.com

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

  Price   Change %Change
CIT
---
DPZ
---
S
---

Contact Mad Money

  • Showtimes

    Monday - Friday 6p ET
  • 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

  • Grab the latest CNBC gear from the NBCUniversal Store!

  • Get a behind-the-scenes look at how Cramer formulates his investment advice. "Inside the Madness" is a column, which features e-mails and more with Cramer and his researcher Nicole Urken.

  • You’ve always wanted to hit the “Hallelujah!” button. Here’s your chance.