Don't Take Your Cues From Manipulated Oil

All day today I have heard that the economy must be weaker than we thought because of the decline in the price of oil. Huh? Didn't we just determine that oil was manipulated up? So we are supposed to take our cue from a future that's phony? Maybe we ought to stop with the linkage of futures that can be manipulated with the economy as a whole.

I'm not kidding here. The futures market isn't for real, because if it were, the price would never have gotten to $140. I don't mind using copper -- that's hard to corner. I think steel's OK, not great, because it can be a little cartel-oriented until more facilities open.

But the real measure of economic strength in my mind is the Baltic Freight Index, and that had been soaring until just a week ago. If you want to take your cue from that one, I am game.

Look, we can't have it both ways,. We know that these energy futures, from oil to natural gas, are just about trying to get over on other traders, or cornering the market or burying a particular poorly-capitalized firm. That's what these oil-based futures are signaling.

I believe that anyone who tries to draw a conclusion based on these is simply searching for something to talk about, because the correlation is now completely discredited.

Random musings: What did AIG (AIG - commentary - Trade Now) accomplish with this 20-for-1 reverse split? Fool some people into buying it? ... Monsanto (MON - commentary - Trade Now) attempting to stabilize, but great calls by Helene Meisler and Bert Dohmen. ... Elsewhere people commenting on IBM (IBM - commentary - Trade Now) -- I like it here, as it has had a tendency to run down ahead of the quarter. ... Bloomberg talking about a 2-handle on nat gas. Unbelievable if that occurs, as that would be so bullish for the American consumer -- 63% of homes are heated by it.

At the time of publication, Cramer had no positions in stocks mentioned.

Know What You Own: Shipping companies in the Baltic Freight Index include Diana Shipping (DSX - commentary - Trade Now), DryShips (DRYS - commentary - Trade Now), Eagle Shipping (EGLE - commentary - Trade Now), Excel Maritime Carriers (EXM - commentary - Trade Now), Genco Shipping and Trading (GNK - commentary - Trade Now), Navios Maritime (NM - commentary - Trade Now), Paragon Shipping (PRGN - commentary - Trade Now), Safe Bulkers (SB - commentary - Trade Now) and Star Bulk Carriers (SBLK - commentary - Trade Now).

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