There is a battle going on right now on the stock exchange floor. It is a battle between the consumer benefiting from the cheap-gasoline stimulus plan and the overstretched oil companies threatening the U.S. economic recovery.
Jim Cramer's got his money on the consumer, especially on the all-American diner that has made a major comeback; Denny's.
"The cheap-gasoline fueled consumer might be able to repel any weakness that the producers of oil in this country may cause it," the "Mad Money" host added.
That battle was won on Thursday when the retail sales number came in and saved the day with a 7 percent growth in retail sales for the month of November. That excellent gain was due in part to better employment and low gasoline prices.
In Cramer's perspective, there were various signals that indicated that the consumer is winning this battle. He outlined the six newsworthy signs of a strong consumer that occurred.
What the heck is going on with Exxon Mobil? Cramer is scratching his head over the fact that the world's largest oil company is going up when the rest of the oil patch is going down.
Perhaps investors are starting to realize that there are both winners and losers of the oil industry. Finally!
Cramer has been waiting for oil stocks to bifurcate, and that is exactly what is happening. Looks like Charles Darwin was right.
Here is Cramer's theory: "There's more than $200 billion in high-yield paper from the oil patch. We know there are plenty of loans, too. But let's say half of that high-yield corporate paper goes bad. What will happen? How about this: It will give a production challenged company like Exxon the chance to come in and buy pretty much anything it wants to."