Oil once again controlled the market on Friday. Jim Cramer found it so "breathtakingly stupid," he hesitated to admit that next week will depend on oil, too.
"A benign Fed and a decent oil inventories number on top of some oil freeze rumors, and we'll have ourselves a rally. However, all three have to happen to make it work," the "Mad Money" host said.
Cramer could not deny the correlation between the U.S. stock market and oil demand. Many investors assume that when slowing demand sends oil lower, the U.S. economy must be weak.
The linkage between stocks and oil will not break until investors stop making that assumption, Cramer said.
With this in mind, he shared the game plan of stocks and events he will watch next week.
With the possibility of the Federal Reserve raising interest rates next week, Cramer aimed to find high-quality stocks that can withstand a slowing U.S. economy.
Diageo, a British liquor company, is the world's largest maker of spirits, with popular brands like Johnnie Walker, Ketel One, Smirnoff, Captain Morgan and Guinness beer.
"With shares up 3 percent year-to-date, I am feeling increasingly like Diageo is an idea whose time has come. Right now this company is giving you not one, not two, but three potential ways to win, and I bet it could have a lot more room to run," the "Mad Money" host said.
CNBC's Delivering Alpha conference told Cramer that many big institutional investors that control the direction of the market have become more cautious about stocks as an asset class.
"We no longer have a rising tide that is going to lift all boats. Instead, we are sailing through a storm-wracked ocean, and not every ship is equally seaworthy," Cramer said.
That means investors need to become more selective in the stocks they choose, especially with sectors that have fallen out of favor with Wall Street. Restaurants have been hammered hard this year, as people aren't dining out as much, thanks to a major decline in the price of food.
When it comes to the restaurant space, Cramer recommended buying high-quality long-term plays like Panera Bread, Starbucks and McDonald's.
With the news of Wells Fargo's questionable account-opening tactics this week, many worried investors have asked Cramer what to do with their bank stocks.
"Altogether it feels like banking Armageddon, not long after we were in banking heaven. I say if you own these, just let it play out. Higher rates will come eventually and they will boost the bottom line," the "Mad Money" host said.
Last week, Wells Fargo agreed to pay $185 million in fines after admitting to opening tens of thousands of unauthorized customer accounts. Wells Fargo CEO John Stumpf appeared on "Mad Money" and apologized for the bank's actions on Tuesday, but the stock plummeted for the rest of the week.
Additionally, the Justice Department is now seeking $14 billion from Deutsche Bank for actions involving the mortgage crisis that stemmed from the Great Recession. Since Deutsche Bank only has an $18 billion market cap, a $14 billion fine would have a significant effect.
"I can't help but wonder if Wells Fargo thought it was getting off lightly with its $185 million in fines, and misjudged the public outcry and the possibility of Justice going after it for wrongdoing, too, something that we heard rumored later in the week," Cramer said.
For investors who have not yet entered the banking group, Cramer recommended a better entry point in the future. There is no need to buy the stocks after the first dip that is inevitable if the Fed does not raise rates next week.
In the Lightning Round, Cramer gave his take on a few caller favorite stocks:
Berkshire Hathaway (B shares): "I would say that the investments that Warren Buffett has been making of late have not been performing that well, but to go against the master? No, thank you. I think Berkshire Hathaway is a buy. Period, end of story."
CoLucid Pharmaceuticals: "I've got to look into it. It just did a gigantic secondary and it's up huge since the secondary. I have to come back and do homework on that one."