As the cliff looms, what about retail? Specifically, what about the high-end retail customer? Cramer talked to
CEO Steve Sadove, who said the rich are less concerned about having their taxes raised and more concerned about avoiding a fiscal cliff that will do long-term damage to the stock market.
How do Saks customers fell about their net worth at the moment? "At around 13200" where the stock market closed, "they're not feeling too badly," he said. But that could change come Jan. 1 with no deal.
Hurricane Sandy had an impact on Saks, forcing the closure of 11 of it 45 stores, including the flagship Fifth Ave., New York store. It also had an impact on projected sales, which are now expected to be flat after projected growth of 3-4%.
Still, Sadove said, he's optimistic, particularly as more shoppers use the Internet and other channels to buy. He called this a "transformative" moment for retail into which Saks is investing over $100 million. But Saks is also opening more of its Off 5th stores, which offer 40%-70% discounts on goods to shoppers looking for "brands and a deal."
Cramer said SKS is an inexpensive stock and a "very good call if you think the stock market is going to go higher."
In the Lightning Round, Cramer was bullish on
He was bearish on
Carrizo Oil and Gas
What's Up With YUM?
Following a 4% sales decline in China in the fourth quarter,
(YUM - Get Report)
was downgraded by two banks. Then, last week, two other banks backed the parent company of Pizza Hut, Taco Bell and KFC.
Cramer said the China comparative sales were up 21% a year ago. He considers the recent slip in China sales a bump in the road. "When it comes to reading China," he said, "I say you give Yum the benefit of the doubt."
"China has new leadership and they will do what it takes to get the economy moving, and moving fast," Cramer said.