Money managers are global in nature and make decisions based on the value of stocks in entire countries and continents. Given that the average stock in the S&P trades at 16.3 times earnings, the U.S. is more expensive than other countries. Therefore, it made sense to Cramer that the U.S. stock market would be down so much.
Every other country in the world right now is in crisis mode and has banks and politicians trying to stimulate the economy. Meanwhile, the Federal Reserve is busy trying to figure out how to slow down the U.S. economy.
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The German stock market is down 12 percent for the year, and Cramer thinks it might be better off than the U.S. right now because Europe is easing, and Germany's numbers are looking good.
Therefore every macro-oriented money manager is probably shorting the U.S. stock market and going long for a country like Germany.
"That's the logical thing to do," Cramer said.
The S&P also bounced from key levels of support on Wednesday, especially around 1,830. Sure enough, the buyers came in.
"I wish they hadn't. We can't get a washout, the whoosh we need to banish the weaker hands and have all the selling dry up until we go lower," Cramer said.
Ultimately, stocks in the U.S. aren't cheap enough, so, they are stuck in no-man's land. Cramer thinks this market needs to see some sort of a fundamental change before worldwide investors feel comfortable putting their money into the U.S. stock market.