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
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

Cramer's 'Mad Money' Recap: Dazed and Confused Markets

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.


NEW YORK ( TheStreet) -- If the markets can reach all-time highs with so many companies reporting miserable quarters, imagine what's possible if things actually improve. Those were Jim Cramer's thoughts on "Mad Money" Monday as he opined on the seemingly dazed and confused averages that have been ignoring a plethora of bad earnings.

Cramer said just about all the major companies upon which investors have come to rely had bad things to say this quarter, including Apple (AAPL), Exxon Mobil (XOM), IBM (IBM) and Amazon.com (AMZN). With his charitable trust, Action Alerts PLUS , owning both Apple and IBM, Cramer said he knows firsthand how dismal both the earnings and the outlooks have been from these former market leaders.

But the weakness continued into other stocks including 3M (MMM), AT&T (T) and Procter & Gamble (PG). Industrials including General Electric (GE) missed their numbers, as did health-care names such as Unitedhealth Group (UNH) and the banks, led by Bank of America (BAC). Restaurants including Starbucks (SBUX) were not immune to the market's wrath either, he said.

But despite all of these earnings misses and dismal outlooks, the markets still rallied, and that's due to all of the other companies that didn't miss their numbers and are, in fact, doing quite well. That begs the question: What is the market capable of doing if all those companies that missed estimates are able to recover?

Executive Decision: Chuck Bunch

In the "Executive Decision" segment, Cramer spoke with Chuck Bunch, chairman and CEO of PPG (PPG), the chemical and coatings company that was able to beat the estimates when it reported earnings despite the fact it has a large business overseas. Shares of PPG are up 8.6% for the year.

Bunch said the global markets are a mixed bag at the moment, with continued weakness in Europe but steady growth in China. He expects only stability in Europe throughout 2013 and doesn't foresee any growth in that region until 2014. On China he remains very optimistic as that country is forecasting 10% growth this year.

Bunch was also optimistic on his company's acquisition of Akzo Nobel's North American operations, saying the merger gives PPG a number one position in Canada and is the perfect complement to his company's U.S. businesses. "There are a lot of synergies," said Bunch.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link 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

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, 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!

Markets

DOW 17,827.75 +12.81 0.07%
S&P 500 2,072.83 +5.80 0.28%
NASDAQ 4,787.3170 +29.0650 0.61%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

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