Bon appétit, chéri!
No, Cramer isn’t really a French chef, but he did cook up one mean analogy on this “Mad Money” broadcast.
At the time, the U.S. Federal Reserve had just announced a third round of so-called quantitative easing, or QE3, that aims to drive down mortgage rates until unemployment improves. The Fed said it will buy $40 billion of mortgage-backed securities a month in an attempt to revive the struggling U.S. real estate market.
To Cramer, the Fed’s third round of asset purchases is just another attempt to get the economy going. Although some criticized the Fed’s third attempt at jumpstarting the economy, Cramer said it’s a lot like getting a backyard BBQ going. To light the grill, you first have to add charcoal and then lighter fluid. If the grill doesn’t start at that point, Cramer said you might want to try throwing a little gas on the fire – and that’s exactly what he thinks Fed Chairman Ben Bernanke is trying.