RealMoney Radio Recap: Hot Oil

In addition, the inventory of oil does not change the price of natural gas, he said.

"We've been hot in this country for 10 straight days, and that's what's causing the surge of natural gas," Cramer said, adding that gas is up more than 50% in two weeks.

The rally we are seeing in natural gas is for real, he said, predicting that Chesapeake Energy (CHK), which was recently at $33.20, will go up to $35 and Devon Energy (DVN), which Cramer owns for his charitable trust, Action Alerts PLUS, will go from $64 to $70.

Referring to an interview he recently caught on a Bloomberg weekend wrap-up program with a Texas Instruments (TXN) executive, Cramer advised people that although everybody has turned negative on the tech sector, there might be some money to be made in cell phones.

When the interviewer asked the executive about cell phone sales, the executive said that there has actually be an acceleration in business for its three main customers: Nokia (NOK), Sony Ericsson and Motorola (MOT).

Cell phones are better than TVs and PCs, Cramer said, while recommending that his listeners keep an eye on cell phone companies.

While people might believe that the current situation is favorable for retail stocks, Cramer said they are a horrible place to be if we get into a recession, which could possibly happen.

People are not spending less at the pump, so there has consequently been a cutback in retail, Cramer said. If market players believe that the back-to-school season is going to be good, he said J.C. Penney (JCP) is the way to play it.

Cramer's Callers

Although Yahoo! (YHOO) has delayed its search engine, when it debuts, its price it going to go up, said Cramer.

Cramer owns Yahoo! for his charitable trust, Action Alerts PLUS.