This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Cramer: Sequestration Good for Stocks

Debra Borchardt: Well it's interesting because we're hearing that the Republican side in an article in The New York Times today...is starting to say, "You know what? We'll take those defense cuts."

Jim Cramer: I know. That wasn't supposed to happen.

Debra Borchardt: Now the Democrats are going, "Well, wait a minute. You're not playing by the rule book. You're supposed to not be for that." So now that the Republicans are saying, "You know what? Cut the military," it's kind of started to change the dialogue.

Jim Cramer: Maybe that's what happens ... when I lived in Florida, I covered the legislature there and they had sunshine provisions. They were always trying to figure out ... after 10 years when you sat with the legislators, they would say: "Look. We don't know whether this thing ... turns out to be really good; when it sunsets, if the people want it, we'll bring it back." ...I believe there will be a deal. But maybe what will have to happen here is the following, which is, "OK, look. That turned out to be a bad idea. Now Congress get back in session and fix the national parks."

But the idea that there's nothing in the government that can be cut, after working in the private sector for 33 years and watching people being laid off, after lay offs, after lay offs...there's things you can cut. So I think that this is one of those where the Republicans have more of the upper hand than anybody realized because no one thought that they would ever be willing to go with defense cuts.

Debra Borchardt: Do you think that that's actually going to be a positive for the stock market? It could be that they're seeing some real action.

Jim Cramer: Kudlow says, "Yes." The reason I focused on him ... Larry was my partner at Kudlow & Cramer for years, but Larry worked on budget for Reagan, OK? And I don't know anyone who does more, better, rigorous budget work than Larry. So I'm just urging people to go to CNBC.com and read that piece.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
DIA $182.68 0.00%
QQQ $109.38 0.00%
SPY $211.50 -0.23%
AAPL $129.05 -0.03%
FB $79.75 0.00%

Markets

DOW 18,288.63 +155.93 0.86%
S&P 500 2,117.39 +12.89 0.61%
NASDAQ 5,008.0960 +44.5690 0.90%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs