Look at the Facts

If you listen to the bank bears, everything's worse than it was four weeks ago. The losses are increasing, the auction-rate preferreds are now biting, the mortgage implode-a-meter now measures how many homebuilders are going under. German banks are repossessing Vegas vanity projects, and Freddie Mac's (FRE - commentary - Cramer's Take) moaning that it isn't their fault, they didn't compromise standards, things have just gotten much worse.

To which I say, let me give you some evidence that would suggest otherwise. Check out the prices from July 15 and those from last night's close:

• Ambak (ABK - commentary - Cramer's Take): $1.70 -- $4.59
• MBIA (MBI - commentary - Cramer's Take): $3.90 -- $8.28 (not including today's blowout earnings!!)
• Wachovia (WB - commentary - Cramer's Take): $8.90 -- $17
• Bank of America (BAC - commentary - Cramer's Take): $18 -- $31
• Fannie (FNM - commentary - Cramer's Take) (yes, FNM!): $6.90 -- $9.90
• Freddie (yes, FRE!): $4.05 -- $5.89
• Wells Fargo (WFC - commentary - Cramer's Take): $19.90 -- $29
• JPMorgan (JPM - commentary - Cramer's Take): $30 -- $39
• Lehman (LEH - commentary - Cramer's Take): $11 -- $17
• WaMu (WM - commentary - Cramer's Take): $3.10 -- $4.90
• Citi (C - commentary - Cramer's Take) (yes, C!): $14 -- $18
• AIG (AIG - commentary - Cramer's Take) (yes, AIG!): $20 -- $24

When I made my bottom call -- as usual maligned by people who say I have called many bottoms -- regardless of whether I was saying a trading bottom or whatever, I was simply speaking of not violating those levels. There's a host of other commodity-consuming companies' levels that also hit bottom at the same time with the peak in oil that I don't think will be violated.

My evidence doesn't say that things are going to roar. I believe that Fannie and Freddie will have to be bailed out by the federal government and the common will get crushed, contrary to what the regulators are saying. I think Fannie's numbers today are much worse than should be allowed, and the common should be confiscated this afternoon -- the heck with the shareholders. Both FNM and FRE common shareholders should be given 10% of NewCo, with the government getting 90%, so we can benefit from the comeback. FNM and FRE are both worthless right now; I am not one who defends them. I think they are worse minus 10 or something, but stocks stop at zero.

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Jim Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for Action Alerts PLUS. Watch Cramer on "Mad Money" weeknights on CNBC. To order Cramer's newest book -- "Jim Cramer's Stay Mad for Life: Get Rich, Stay Rich (Make Your Kids Even Richer)," click here. Click here to order "Mad Money: Watch TV, Get Rich," click here to order "Real Money: Sane Investing in an Insane World," click here to get "You Got Screwed!" and click here for Cramer's autobiography, "Confessions of a Street Addict." While he cannot provide personalized investment advice or recommendations, he appreciates your feedback and invites you to send comments by clicking here.

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