NEW YORK ( TheStreet) -- While the markets cheered the Federal Reserve's no-taper decision by pushing equities to all-time highs, TheStreet's Jim Cramer tells Debra Borchardt why he's not buying the hype.
Although many investors are upset by the Fed's decision, it was hard to tell when equities went higher. But according to Cramer, what choice did Chairman Ben Bernanke have?
With the back-to-school season the worst in roughly five years, heavy selling in Treasuries from China and Brazil, a slowdown in housing and a looming government shutdown, there are too many issues around to warrant a taper.
However, when asked about whether the Fed is stuck, Cramer said he doesn't think so. Because if the Fed really wanted to, it could stop quantitative easing. Then stocks would fall and interest rates would go up.Cramer said that Congress and President Obama are at fault for not creating new jobs and that Bernanke is doing his best by pumping money into the economy. Cramer stressed that he would rather be a seller than a buyer ahead of the government shutdown, which will likely weigh on the already overbought markets. He added that he trimmed the Facebook (FB) position, as well as others, in the Action Alerts PLUS portfolio. -- Written by Bret Kenwell in Petoskey, Mich. Follow @BretKenwell