Jim Cramer didn't expect Thursday to be such an ugly day in the market. When he woke up at 4 a.m. he saw positive signs floating around. A strong dollar, oil flat and futures positive. But thanks to Caterpillar, it all went downhill.
Caterpillar, a large stock in the Dow Jones industrial average, sent shock waves through the market Thursday when it announced a shortfall of $1 billion in sales on a $49 billion basis. Additionally, it announced layoffs of as many as 10,000 workers as a result of the shortfall and weakness in various end markets.
The "Mad Money" host thought that Caterpillar was bizarrely honest about things. It pointed out twice in its release that this is the third consecutive year of sales going down, and at this pace it could be the first time in its 90-year history that it had declining sales four years in a row.
"That is an astonishing fact given that Caterpillar has been through a heck of a lot of downturns, not to mention the Great Recession and the Great Depression," Cramer said.