Cramer's 'Mad Money' Recap: Trading Off Misleading Headlines (Final)

Financial Reforms

Cramer spoke with Senator Ted Kaufman (D., Del.) for an update on financial reforms and the state of financial affairs in Washington.

Kaufman said the outcome in the case against Goldman Sachs is clear: Goldman lost and the Securities and Exchange Commission won. He said Goldman may spin the verdict as a win for them, but the fact is that the $550 million fine that was imposed was the largest in history.

Kaufman also said it's important to modify the behavior on Wall Street. "People can't believe that they will get away with this," he said. There is an arrogance on Wall Street, which is why we need to get the regulators back on the beat to keep the market credible, Kaufman said.

When asked about the complexity of the new financial regulations, Kaufman said that no senator ever gets the exact bill they want, but this bill was better than nothing at all.

He said that it was important to lay down the rules, then let the regulators decide how to handle the new rules, but Kaufman admitted that regulators already have their hands full, and this bill doesn't help that matter.

Overall, Kaufman endorsed bringing both sanity and ethics back to Wall Street, and Cramer agreed wholeheartedly.

Lightning Round

Cramer was bullish on Walter Industries (WLT), Fluor (FLR), Freeport-McMoRan (FCX), City Telecom HK (CTEL), Potash (POT), Deere & Co (DE), Monsanto (MON) and Cirrus Logic (CRUS).

He was bearish on Foster Wheeler (FWLT).

Closing Comments

Cramer reiterated his $300 price target on Apple (AAPL), a stock which he owns for his charitable trust, Action Alerts PLUS, on the heels of the company's earnings report. "The Internet tsunami is alive and well."

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-- Written by Scott Rutt in Washington D.C.

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