'Stop Trading!': Geithner Nod to Cramer

Jim Cramer said Friday he was flattered that the Treasury secretary had acknowledged his foresight on the looming economic crisis two years ago, famously personified by Cramer's impassioned criticism of Fed inaction.

"I want you to know that he was right," Treasury Secretary Timothy Geithner said at a CNBC town hall meeting Thursday night in Washington, D.C., in reference to Cramer's legendary rant about the Fed's failure to open the discount window to troubled banks. "At that point, we were at the beginning of this great panic."

Cramer said Friday on CNBC's "Stop Trading!" that the recognition "took my breath away. Geithner has done a fabulous job. I believe in the stress test. I think he saved the system. I was not in his camp initially."

As to that rant on Aug. 3, 2007, Cramer said: "That was a period where a lot of people said that I was a hothead. ... It was the thing that I've done most right in my career. ... The only guy I would really care about in terms of recognition would be the Treasury secretary of the United States, and I got it. And I'm thrilled. ... It's just a nice thing."

On Treasuries, Cramer said: "We have now really gotten to the point where we're at the top of the heap of credit default swaps. ... People are not betting against U.S. Treasuries. ... This is a robust Treasury market. I wish people would be positive about the positives. ... We are at the moment where America is going to be ascendant in banking because our banks have raised the most capital. We have the best yield curve. I think the quarters for these banks are going to be blowout. I think this is the next big move."

"I think the government should be issuing a trillion dollars in 30-year Treasuries right now, and then no tax hikes," he said.

Host Erin Burnett asked about municipal bonds: "Munis have had a big run here," Cramer said. "I would wait for any selloff in munis to get back involved."

Cramer also recommended Kinder Morgan Energy Partners(KMP Quote) and Enterprise Products Partners(EPD Quote) for their yields.