Selloff Opens the Door for the China Rebuild

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Twelve million people get moved to a new city. Think of it. Think of it as being 100 times the move of New Orleans. Think about what the rebuild after Katrina did to the GDP of this country. This Chinese post-earthquake move is just much, much bigger.

But people still are not talking about it.

To me, it means that all of the games the Chinese play with suppliers are over. They will just have to pay up.

All of the steel and all of the wood and all of the concrete and all of the copper -- going at premium.

Which brings me to Nucor (NUE Quote - Cramer on NUE - Stock Picks). Here's an opportunity to pick up some of the best steel company at what could be a big discount on the secondary that NUE's doing to build a better Nucor. I think this one's worth being in for.

Or Freeport-McMoRan (FCX Quote - Cramer on FCX - Stock Picks). I know the stock's barely down, but why not get ready for when the overall S&P sellers take this one for a quick hit back to the mid- to low teens? I think that works higher.

Heck, this rebuild is so big I think it will impact Caterpillar (CAT Quote - Cramer on CAT - Stock Picks). China will need so many earthmovers, I could see them taking a whole month's worth of inventory.

You need to think of this earthquake the way you might have thought about the Petrobras (PBR Quote - Cramer on PBR - Stock Picks) demands on 80% of the world's deepwater rigs. That generated a huge oil service move for that end of the market that continues today.

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