The stock market might be up even more Tuesday if it weren't for the shock FBI raid of the office of President Donald Trump's attorney, Michael Cohen, CNBC's Jim Cramer said Tuesday.
"I don't think people realize [that] this doesn't happen," said Cramer, who holds a law degree from Harvard. "I don't think people are saying how incredible it is."
"You typically do not raid a lawyer's office," Cramer told "Squawk on the Street." "When you go in and raid a lawyer's office, well it takes the highest part of justice, not [Robert] Mueller. You have to have the Justice Department check off on this. This is a rather amazing thing, it's what every lawyer fears."
Prosecutors in New York obtained a search warrant and on Monday raided Cohen's office and home, following a referral from Mueller, the special counsel in charge of the Russia probe.
Cohen is being investigated for crimes possibly related to bank fraud and campaign finance violations, according to The Washington Post. The FBI is seeking evidence related to the payment Cohen made to porn star Stormy Daniels on the eve of the 2016 presidential election.
"The decision by the U.S. Attorney's Office in New York to conduct their investigation using search warrants is completely inappropriate and unnecessary," Stephen Ryan, Cohen's lawyer, said Monday. "It resulted in the unnecessary seizure of protected attorney-client communications between a lawyer and his clients," Ryan said.
Cramer, host of "Mad Money," said it's a "dicey decision" as to whether the raid was a violation of attorney-client privilege. "If you have anyone involved in this investigation you are frightened."
On Tuesday morning, Trump fired back in a tweet that "attorney-client privilege is dead."
@realDonaldTrum: Attorney–client privilege is dead!
Investigators must clear a high legal standard if they want to secure a search warrant for a lawyer's office, according to Justice Department guidelines.
– CNBC's Dan Mangan and Kevin Breuninger contributed to this report.