Is BP Still Worth a Value Trade?

Anyone who says BP offers tremendous value isn’t reading the Florida newspapers, Cramer said Thursday.

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He said there are a number of people who think BP at $29 is cheap, but their arguments sound a lot like the case for buying Citigroup when it traded at that level.

“I like Citi now,” Cramer said, “but it made that pit stop at $2” first.

Oil is washing up on Florida’s northwestern shoreline, and it’s “so far worse” than people expected, the Mad Money host said. It’s the extent of the damage – and the damage yet to come – that makes it impossible for Cramer to recommend BP.

In other news, the much-debated derivatives portion of the coming financial regulatory reform bill is supposed to be finished today. If Arkansas Democratic Senator Blanche Lincoln gets her way – she wants banks to spin off their derivatives-trading operations – then that means an uptick in business for foreign companies like Deutsche Bank and Credit Suisse .

Cramer said these overseas outfits would be able to offer a whole range of services that stateside banks just couldn’t, if the legislation passes as is.

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