This Day On The Street
Continue to site
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

Jim Cramer: Look for Overseas Exposure

I am betting when we hear Ford Motor (XX) talk this week it will be similar. Ford didn't need to distance itself from the U.S. because car sales somehow came to be more secular than cyclical because of the age of the auto fleet in this country. Given that gasoline's never come down -- notice that? -- despite all the oil we have found, the payback for a car with heavy incentives is pretty decent. Plus, as more people are hired, more need cars. But Europe is what crushed Ford, not the U.S., and if you notice, Ford still isn't back to where it was almost three years ago, again because of Europe.

It's all about leverage right now. Who has leverage to the very markets that hurt companies so badly? Who is not going to have the swing from red to black pretty much in the way General Electric did?

That's why I am not as concerned about confidence data. I am not talking about buying the shares of D.R. Horton (DHI - Get Report) or Pulte (PHM - Get Report).

But one more word on those. When all stocks have run this high, even these stocks can be pulled up by the entire tide. In other words, they are not good shorts. They just aren't great longs.

Action Alerts PLUS, which Cramer co-manages as a charitable trust, is long F and LOW.

Editor's Note: This article was originally published at 7:58 a.m. EDT on Real Money on Oct. 21.
At the time of publication, Cramer was long ___.

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
Only $9.95
14-Days Free
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
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free

Markets

Chart of I:DJI
DOW 15,973.84 +313.66 2.00%
S&P 500 1,864.78 +35.70 1.95%
NASDAQ 4,337.5120 +70.6750 1.66%

Our Tweets

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs