Discord among European Union policymakers over how to stop a disastrous spread of the sovereign debt crisis has caused increasing frustration among investors. With this in mind, Cramer plans to closely watch Europe starting Sunday. After all, he said our week of trading will be determined by what the Europeans do Sunday night.
As it stands, European countries, including Ireland, Spain, Portugal, Greece and Italy, have issued far too many government bonds than they can afford to pay the interest on, Cramer said. Everyone who owns these bonds, including many European banks, is about to lose a huge amount of money as these countries "keel over."
So what do we want to see?
"We want a worldwide intervention where everyone from our fed to the Chinese come in and buy these sovereign bonds at a discount from the holders. This is the moment where the Chinese can make a statement that they want to be part of the commonwealth," Cramer said. "If the Chinese step up to the plate and help, and they certainly are the only people on earth with the balance sheet that can do this, the problem can actually be solved."
The Chinese could easily do this by using the profits from their investment in U.S. bonds, Cramer said. At the same time, he would like to see a coordinated rate cutting by the emerging markets that have been relentless in their increases. These cuts would ensure we ensure growth and help take any recession woes off the table.
If policymakers agree on such a package Sunday night, Cramer thinks the market could quickly retrace its losses. If they can't agree on a deal, however, Cramer said investors will be buying the following stocks at much lower levels, unless they have good yield protection.
MarkWest Energy Partners , for example, is scheduled to report its earnings results Monday. This master limited partnership engages in the gathering, processing and transportation of natural gas. Most of the nat gas it transports comes out of the Marcellus shale in Pennsylvania. Cramer recommends listening to its conference call to see if it's a good buy. He thinks it is, especially because this stock sports a 6.1 percent dividend yield.
After Tuesday's closing bell, Cramer plans to look for Walt Disney's earnings results. The stock's decline to the $34 level has been a gift, he said. Cramer recommends buying shares into any void out of Europe's troubles on Sunday. He thinks it could be a great entry point for a well-run company.
The U.S. Federal Reserve Bank will meet later Tuesday. It will likely address Europe, Cramer said. After all, the central bank doesn't need to cut rates or buy back bonds. But if it wants contagion to stop, Cramer said it needs to buy European country bonds.
Technology giant Cisco Systems will deliver earnings after the bell Wednesday. Cramer doesn't like most tech stocks right now, but he admits the stock has come so low, he thinks it should actually be bought at current levels.
On Thursday, Cramer will monitor SodaStream International's numbers. He likes this beverage company's stock and said its products are yet to be discovered. The only way to play this stock, however, is through deep-in-the-money call options , he said.
Finally, J. C. Penney will release its results before Friday's open. Cramer is looking forward to hearing from JCP because he thinks the retailer is an excellent read on middle class consumers. He also wants to know how former Apple executive Ron Johnson is faring at the company. Johnson recently joined Penney's board and will become CEO next year.
When this story was published, Cramer's charitable trust owned Apple.
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