NEW YORK (TheStreet) -- Quoting Sir Isaac Newton, Jim Cramer told the viewers of his "Mad Money" TV show Friday that "what goes up, must come down."
He said every stock, good and bad, traded lower in lock step today, but the good news is "we will get over it."Cramer said the markets name seem schizophrenic, with giant up days followed by giant down one, but in actuality, it makes perfect sense. He said the markets simply ran to far, too fast, and it's unrealistic to think they'd just keep on going forever. Looking at things objectively, Cramer said the markets just gave back most of their gains from the seven-day rally, nothing more. But despite the market's miserable action today, Cramer said the week was still filled with good things, like the strengthening euro, which will help earnings of U.S. companies, and financial reforms were finally passed into law, ending months of nervous speculation. And of course, there was the capping of the Gulf oil spill which, at least for the moment, puts an end to that crisis as well, hesaid. Cramer still advised investors to use extreme caution when investing in this market. He said that while things are getting better, and not worse, the markets are still likely to have big swings like we saw today. Eventually, he said, the naysayers will go too far though, and when stocks get oversold, it will be time to start buying again.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV