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
TheStreet Open House

Jim Cramer's 'Mad Money' Recap: Put on the Brakes

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


NEW YORK (TheStreet) -- Stop, wait and don't rush to buy on the weakness created by today's airline tragedy, Jim Cramer warned his Mad Money viewers Thursday. Cramer said patience is warranted in situations like these as we simply don't know any of the facts.

Cramer called the downing of a Malaysian airliner a tragedy and a horrible loss of life, adding that those who would buy stocks on the market's weakness are premature.

Cramer said he's often advocated buying stocks on global induced weakness but this case is different. First, he said the markets are only down fractionally; more important, we simply don't know the facts. The markets will respond differently to a terrible mistake versus an act of terrorism, he warned.

In order to effectively buy into weakness, you need to have conviction. With today's news, investors are likely to continue taking profits Friday as they fear what might happen over the weekend. Add to that increased tensions in Israel and plummeting interest rates and there's simply too many questions to have any certainty at all.

The markets will take a few days to digest today's news and the general uncertainty going into the weekend, Cramer concluded. Until then, the bias will be to continue taking profits, so investors need to remain cautious.

Stay the Course

Why don't investors like this market? Maybe it's because everything you've learned about stocks just isn't making you any money right now. Cramer said the markets have so many cross-currents running through them at the moment and the tried-and-true fundamental analysis just isn't working anymore.

Why are interest rates so low even though the economy is improving every quarter? How can auto sales be strong but earnings at AutoNation (AN) be so bad that shares fell 8%? How can the transports be up so much even though oil is still over $100 a barrel? Cramer said questions like these do indeed make investing for the home gamer a challenge.

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
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!
DOW 17,088.70 -9.75 -0.06%
S&P 500 2,003.98 +0.61 0.03%
NASDAQ 4,594.1360 +13.8650 0.30%

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