Editor's Note: This video was originally published on Oct. 1, 2012.
Yes. I mean today we have an ISM number that's very positive. And remember what Bernanke said when he spoke last. He said, "Listen, we could get some upped numbers but we're not going to change our style. We're going to continue to keep rates low." This might have been a number that someone might have said maybe rates are too low. But we know that he's not going to change his tune, which means that you've got continued liquidity, which means you continue to look for stocks that give you good, solid return including yield. And you end up saying, wow, more of the same. I've got more of the same here. Hated market, a lot of downgrades, and yet stocks don't go down. Debra Borchardt:
You can't fight the tape. Ultimately, that's the old adage and here we are. You can't fight this move. Jim Cramer:
Debra, no one who's been schooled in looking at fundamentals is comfortable buying stocks here. As a matter of fact, I was going back over with my friend Tim Collins who writes for us. He said, "One out of every five stocks looks viable." Then I go over my friends who are purists about revenue growth. There's not a lot of revenue growth. Debra Borchardt:
Right. We don't expect earnings to be great. Jim Cramer:
The lead story in the Journal? Export markets weak. I say to myself, guys, this has been going on for six months and look what's happened. You suddenly think that the same data is going to be negative? That's the definition of insanity, continually doing the same thing over, meaning hating the market, and expecting that this time it works. You need to see a major change. You need to see the Federal Reserve saying, listen, we're done. Or you need to see more companies preannounce than just Intel and Federal Express. We didn't find things like 3M when they tightened the range and said that the old goal is a stretched goal. That was not met with selling. Norfolk Southern's was met with selling because then you suddenly think, well coal. Debra Borchardt:
Cat had some pullbacks but it sold off only a little. Jim Cramer:
But it still didn't go back to where it was. Debra Borchardt:
Right. Do you have any levels you're looking at for the end of the year? Jim Cramer:
Well, I have to tell you that I believe that banks/financials can catch up. There's some big stocks in the S&P. I think that the consumer product stocks are still not expensive. The one area that we're really befuddled by is what do you do with tech? We can't find a lot of tech companies that have earnings momentum. The ones that do, you get Apple and you have the maps problem. You get Google and it seems to be up a lot, but it's really not. The average tech stock I don't have a thesis for, Microsoft, Intel, Texas Instruments, Dell, Hewlett Packard -- I have no thesis for. Debra Borchardt:
You're kind of looking at the underperformers to maybe be the performer. Jim Cramer:
That's my theme. Checking down to see what the underperformers are. Debra Borchardt:
All right. Looking for the dogs. Jim Cramer:
Yes. Thank you.