Cramer's TheStreet.com TV Recap: Retail Rollover

When Best Buy (BBY Quote) had a "so-so" quarter and announced a big guide down, Cramer said he thought investors would have bought puts on or been short Circuit City, so that when the stock went down a couple of points, these market players would have to cover it.

"It looks like that trade didn't happen," he said. "It looks like the short-sellers aren't creating that trampoline cushion underneath by having to come in and buy."

Cramer said he's also hearing bad things about Federated Department Stores (FD Quote).

There was a perception that a lot of big-screen TVs were going to be sold, and even though they were, retailers are not making money off of them, he said. But this doesn't mean people should avoid big-screen TVs, Cramer added.

"There are probably some components that would work," he said.

But in general, he said the play on big-screen TVs "has been a bad bet." And the worst part of the bet is that Costco (COST Quote) has come in and "disturbed" the pricing, Cramer said.

He believes that Costco is where people are shopping, as it is the only retailer that had a good quarter.

Emerging Issues

"Today Thailand is getting crushed because the government is instituting controls on short-term capital in the country," Task said. "Is that the kind of thing that reverberates out and becomes a bigger issue for emerging markets?"