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Cramer: Go Long Gold, Study Micron Tech

Tuesday, 8 Feb 2011 | 3:04 PM ET

Natural gas wasdown on the day Tuesday as explosions triggered a massive fire at Enterprise Products' Mont Belvieu, Texas, plant.

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In spite of the explosion, Cramer said on "Stop Trading!" Tuesday that he likes Enterprise Products and doesn't think the day's events should be cause for alarm. In fact, he says it's time to buy Enterprise.

"As it goes toward 6 percent yield I'd be a size buyer of the stock because it's a terrific, steady-income producer that has raised the dividend. Very well-run company," he said.

Cramer also is keen on gold as a long investment, citing news that JPMorgan is willing to take gold as collateral as a further sign that gold is the ultimate currency.

"People keep confusing gold as a commodity," he said. "I regard it as a currency and Jamie Dimon now regards it as a currency. People who are trying to trade gold, forget about it. It's an investment."

Right now less than 1 percent of investment funds are in gold, Cramer noted. Historically it's been between 3 and 5 percent.

"Until we get back to the 3 or 5 percent, stay long gold," Cramer said.

People should be doing their homework on Micron Tech, Cramer said. They have an analyst meeting on Friday.

"Micron's got flash ... they have a very good story to tell," he said. "I think Micron's time is here. It was one of the 10 worst performing stocks in the S&P 500 last year, it's having a resurgence and I'm a believer."

—Reuters contributed to this report.

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