Cramer's 'Mad Money' Recap: China: Feb. 5

This article was originally published Feb. 5

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"While America means politics, China means business," Jim Cramer told viewers of his "Mad Money" TV show Thursday.

He said while President Obama and Congress fight over what so far has been an utterly disappointing stimulus package, the market is paying attention to a much more important one from China.

Cramer called Obama's stimulus plan "a complete and utter disappointment," saying the bill was far too small to do any good. He said the measure delivered a meager $30 billion, far short of the $300 to $400 billion of infrastructure projects that was promised.

But while Congress bickers, Cramer said the Chinese leadership is being responsible, investing over $40 billion on upgrading the country's telco system alone. This is leading stocks like Qualcomm (QCOM Quote) higher, along with many of the oil, minerals, agriculture and rail stocks.

Cramer noted strength in the Baltic Dry Shipping Index as one of the first signs of a Chinese recovery. He said with the Chinese stock markets already up 15% for the year, he sees demand for steel and iron ore to be one of the first areas to recover.

Cramer said he's keeping his eye on stocks like Mosaic (MOS Quote), Deere (DE Quote), Schlumberger (SLB Quote) and Nucor (NUE Quote), all of which should be early benefactors of the looming Chinese recovery.

Cramer: On Selling Winners

Sell Block

In this weekly segment, Cramer went back to school and took a closer look at the online education stocks. He examined the chart of Apollo Group (APOL Quote) to see if that stock is making the grade.