Cramer's 'Mad Money' Recap: Street to Washington: Help!

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"Wall Street needs help from Washington," Jim Cramer told viewers of his "Mad Money" TV show Thursday. "We need dramatically lower interest rates, and we need it yesterday."

Cramer said the real problem with the down market was Fed Chairman Ben Bernanke's testimony. According to Cramer, Bernanke did not take any decisive action, nor did he say anything that even indicated that he has a real understanding of the problem.

"The Fed still thinks this is an inflationary problem and not a deflationary problem," he said.

Cramer said he wants to see the bond ratings cut on all of the mortgage insurers, including Ambac (ABK Quote), MBIA (MBI Quote), MGIC (MTG Quote) and PMI Group (PMI Quote).

Then he suggested the federal government step in and inject these companies with capital so they can continue to operate.

Cramer suggested the government use the Federal Housing Administration to allow strapped homeowners to refinance their mortgages if they can't find refinancing elsewhere.

And finally, Cramer said the government needs to step in and buy all of the bad subprime bonds that no one else wants. "Main Street needs help from Washington. Let's hope they hear us."

A Natural Gas Play

"Natural gas and infrastructure stocks are back," says Cramer. "Both of these sectors are working and need to be bought."

One stock that takes advantage of the strength in these sectors is Willbros (WG Quote).

Cramer said the engineering and construction firm is twice blessed because it caters to the energy markets and builds pipelines. "Infrastructure meets energy is the perfect play."

Willbros, the No. 2 player in the U.S. pipeline market, is sitting in a pretty position. That's because this country will need an estimated 4,800 miles of natural gas pipelines in the coming years, along with up to $7.8 billion in pipeline maintenance.

The company currently has a backlog of contracts worth $1.3 billion, a figure slightly higher than its current market cap.

Cramer said Willbros trades at just one time its growth rate, while its peers trade as high as 1.5 times their growth rates. "Even if you give the company a 1.3 multiple, Willbros should be a $45 stock."

Willbros closed at $34.78 Thursday, off 94 cents, or 2.6%, for the day.

Exercise Patience

"Never sell a stock you know is right, just because you're impatient," Cramer told viewers.

That's exactly what he did earlier this year with International Game Technology (IGT Quote). But Cramer is now releasing IGT from his "sell block," saying the company was "falsely imprisoned."

He recommended selling IGT after the company reported in-line numbers this past quarter. His reasoning then was that the gaming industry would be slowing along with the global economy.

Shortly after he sold the stock for his charitable trust, Action Alerts PLUS, voters in California and Florida each passed referenda allowing additional gambling in their states.

California voters approved up to 23,000 new slot machines, while Florida voters approved up to 15,000 new machines. The delivery of these slots machines could impact the upcoming quarter, which forced Cramer to re-evaluate his numbers.

Cramer said he allowed the wrong data and his impatience to get the better of him. "Stand behind your thesis if you know it's right." Any pullback in IGT is a great buying opportunity, he said.

Closing Thoughts

Cramer noted that Chipotle (CMG Quote) reported disappointing earnings as expected and that he prefers Yum! Brands (YUM Quote) over Chipotle.

Lightning Round

Cramer was bullish on First Solar (FSLR Quote), Western Union (WU Quote) and Nike (NKE Quote).