OPEC may have just "engineered the short squeeze of a lifetime," Cramer said Wednesday.
The stock market gobbled up that short squeeze on Wednesday, as crude surged 9.3 percent on the news that the Organization of the Petroleum Exporting Countries finally reached an agreement to limit oil production for the first time in eight years.
"Going into the meeting, the Saudis upped their production to about 11 million barrels a day, from 10 million, so they are simply going back to where they were last year," Cramer said.
Just doing the math, it made sense to Cramer. Selling 10 million barrels a day at $50 apiece is more than selling 11 million barrels at $45. It's also better than selling 11 million at the $40 price where oil might have otherwise headed.
Marathon Petroleum's CEO believes the OPEC agreement to limit production could finally end a glut of oil that has hit the price of crude.
"We believe by the end of the first half that the global supply of crude can be in balance and might even be a little bit of a supply deficit as we go into the second half of the year," Gary Heminger told Cramer.
In the Lightning Round, Cramer gave his take on a few stocks from callers:
Acacia Communications: "We suggested to do this one and it went all the way up. When they did that last quarter we were not happy with it because they did have a contract that we thought would have been big that didn't happen. So, I want you to be careful of this one — long-term story good, short-term not that good."
International Flavors & Fragrances: "They missed the quarter. They absolutely missed the quarter. This company has a long history. I would be a buyer of this company after they report the next quarter. I want to see what it is, because this quarter was a not good quarter."