FEATURED SLIDESHOW
Who Is The Worst CEO?Mad Money needed new inductees for its
Wall of Shame, so we asked viewers for
nominations.
RECENT POSTS
- Remorseful Regulator Leads Reform Fight
- Lightning Round: AT&T, Verizon, Novartis and More
- Lightning Round OT: Alcoa, Weight Watchers and More
- Why Amazon Rules Retail
- Nordic American: Sinking Ship or Titan Tanker?
- Cramer: What Monday’s Housing Number Really Means
- Cramer: Buy These Banks, If...
- Time to Buy Treasurys?
- Lightning Round: Las Vegas Sands, ADC Telecom, Satyam Computer and More
- Lightning Round OT: Knight Capital, Ebix and More
MAD MONEY FEATURES
PODCASTSWatch the Lightning Round whenever and wherever you want.
OFFICIAL MAD MONEY WIDGETGrab this all-in-one application and get recaps of the show sent right to your desktop or blog.
CRAMERS SOUNDBOARDAdmit it: You've always wanted to hit the "They
know nothing!" button. Here’s your chance.
CHECK OUT OUR PHOTOSCheck out Cramer on set, back to school, behind the scenes and more.
SHOP FOR MAD MERCHANDISEBuy Cramer books, bobbleheads and other Mad Money merchandise.
RING TONESPick up the phone! It's Cramer! New Mad Money sounds for your cell phone.
TEXT MESSAGE ALERTMad Money's mobile. Get show highlights sent to your phone.
Text Size 
Don’t despair just because the Dow, Nasdaq and S&P 500 pulled back on Thursday, Cramer said. Don’t let short sellers, bears and other otherwise negative Wall Street analyst tell you that this is the beginning of a long trip back down to Dow 6,500 – or worse. It is not. Today’s action was merely a natural pullback after a two-month rally in stocks. So bide your time, look for discounts and get ready for the bulls’ return.
Big advances followed by sharp pullbacks – that’s how bull markets work, Cramer said. A 5% to 10% decline is to be expected after the major moves we saw in JPMorgan Chase [JPM
Loading...
()
] and Goldman Sachs [GS
Loading...
()
]. And the same goes for tech. The Nasdaq has jumped 11% since its recent bottom. Would you expect that to continue uninterrupted? Of course not. And don’t be surprised by the dip in oil, either, especially when a barrel of crude has risen $20 in a straight line.
Cramer was adamant today that investors not sell bank stocks, not when they are just about to move higher. Nationalization is no longer an issue, balance sheets are looking better, net interest margins are on the rise, and the Treasury Department’s stress tests have actually done more to help the sector than harm it. The banks are buys right now, whether they need to raise capital or not. Goldman Sachs? Buy. New equity offerings from Morgan Stanley [MS
Loading...
()
] and Wells Fargo [WFC
Loading...
()
]? Both are buys.
Cramer did offer one cautionary note, though. Wait for a pullback of 5% to 10% on any stocks with big gains. But again, that kind of decline is typical of a bull market.
A couple of other points worth mentioning as well: The first phase of the bull run is over, and the next group of companies to move higher will be, not just those that survived the depression that ended in March, but also those that thrive during the recession we’re in right now. Also, there are more money managers and retail investors who want in this market than out, particularly the bank stocks. So buy those equity offerings – everyone else will.
Cramer thinks the pullback will play out with short sellers adding to their positions just as the market approaches his predicted 5% to 10% decline level. As we said, they will think this is the beginning of another downturn. But at the same time, the bulls will be looking to get back in at that level. And the wave of buying – in tech, the oils and banks – should turn the market right back up.
Cramer's charitable trust owns Goldman Sachs, JPMorgan Chase, Morgan Stanley and Wells Fargo.
Call Cramer: 1-800-743-CBNC
Questions for Cramer?
Questions, comments, suggestions for the Mad Money website?
Data is a real-time snapshot *Data is delayed at least 15 minutes