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Cramer's 'Mad Money' Recap: Follow the Market Leaders

Foster Wheeler, on the other hand, is a far smaller business, said Cramer, and one that's struggled to execute of late. He noted the company has been forced to take on a lot of lower-margin business and is still levered to a slowing Europe.

Lightning Round

In the Lightning Round, Cramer was bullish on Solar Capital (SLRC), Edison International (EIX) and Cubist Pharmaceuticals (CBST).

Cramer was bearish on Solazyme (SZYM).

Executive Decision: Randy Smallwood

In the "Executive Decision" segment, Cramer sat down with Randy Smallwood, president and CEO of Silver Wheaton (SLW), a company that invests in silver mines. Silver Wheaton's stock is up 900% since it debuted in July 2005.

Smallwood started off by saying he's bullish on all precious metals, but Silver Wheaton has chosen to focus on silver. Unlike gold, silver is often a byproduct of other mines, such as copper and zinc. So while gold mines may slow or stop production as the price of gold weakens, silver is continually being produced unless a number of other metals begin declining.

That said, Smallwood admitted that Silver Wheaton's earnings are indeed tied, in part, to the price of silver. He characterized silver as the "affordable" precious metal. He noted that in much of the developing world the rising middle class cannot afford to own gold, so they choose instead to invest in silver, which is vastly more affordable.

When asked about global demand for silver, Smallwood said that silver is being increasingly used in technology, an area where demand is not as economically sensitive.

Cramer said that while he remains bullish on gold, Silver Wheaton is a great way to invest in silver without taking on the added risk of investing in a mining company directly.

No Huddle Offense

In his "No Huddle Offense" segment, Cramer said when investors think about all the recent merger and acquisition activity as well as all of the chatter about taking companies private and the countless number for secondary offerings, they should be thinking about just one thing... fees!

Cramer said all of these activities generate huge fees, at huge margins, for investment bankers including JPMorgan Chase, Morgan Stanley (MS) and Goldman Sachs (GS).

So while investors remain focused on net interest margins and other meaningless metrics, Cramer predicts these banks will trounce the earnings thanks to the fees they will be able to generate from everyone else taking advantage of low interest rates.

To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here.

To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.

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

To email Scott about this article, click here: Scott Rutt

Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDC

At the time of publication, Cramer's Action Alerts PLUS had a position in CBI, CSCO, GS and STI.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for TheStreet.com, Inc., and CNBC, and a director and co-founder of TheStreet.com. All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of TheStreet.com or its affiliates, or CNBC, NBC Universal or their parent company or affiliates. Mr. Cramer's opinions are based upon information he considers to be reliable, but neither TheStreet.com, nor CNBC, nor either of their affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Cramer's statements are based on his opinions at the time statements are made, and are subject to change without notice. No part of Mr. Cramer's compensation from CNBC or TheStreet.com is related to the specific opinions expressed by him on "Mad Money."

None of the information contained in "Mad Money" constitutes a recommendation by Mr. Cramer, TheStreet.com or CNBC that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. You must make your own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy mentioned on the program. Mr. Cramer's past results are not necessarily indicative of future performance. Neither Mr. Cramer, nor TheStreet.com, nor CNBC guarantees any specific outcome or profit, and you should be aware of the real risk of loss in following any strategy or investments discussed on the program. The strategy or investments discussed may fluctuate in price or value and you may get back less than you invested. Before acting on any information contained in the program, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Some of the stocks mentioned by Mr. Cramer on "Mad Money" are held in Mr. Cramer's Action Alerts PLUS Portfolio. When that is the case, appropriate disclosure is made on the program and in the "Mad Money" recap available on TheStreet.com. The Action Alerts PLUS Portfolio contains all of Mr. Cramer's personal investments in publicly-traded equity securities only, and does not include any mutual fund holdings or other institutionally managed assets, private equity investments, or his holdings in TheStreet.com, Inc. Since March 2005, the Action Alerts PLUS Portfolio has been held by a Trust, the realized profits from which have been pledged to charity. Mr. Cramer retains full investment discretion with respect to all securities contained in the Trust. Mr. Cramer is subject to certain trading restrictions, and must hold all securities in the Action Alerts PLUS Portfolio for at least one month, and is not permitted to buy or sell any security he has spoken about on television or on his radio program for five days following the broadcast.

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