Cramer: Russia Trumps the Fed
NEW YORK (Real Money) -- It's too bad the Jackson Hole conference is today and that Fed chief Janet Yellen speaks, because that will allow people to be deluded into thinking that it isn't Russia-Ukraine that's driving things, but the Fed's machinations about rates.
It's Russia, stupid. It has been from the beginning, because while Europe's only 6% of the world's population, it is about 30% of the GDP.
Read More: 10 Stocks Carl Icahn Loves in 2014
The banks, the employment, the sales -- they are all at risk with Russian trucks into the Ukraine, which then sends down the European markets which, even after all of these years, still ding us.Now, I know that the rush into the domestic retailers is, in part, because they are way behind and, in part, because they have nothing to do with overseas. They aren't hurt by the ubiquitous strong dollar. But the industrials? They need to take a quick hit. The banks that ran yesterday might have some momentum, but a 2.25% 10-year is more likely than a 2.5%, if Russia-Ukraine flairs again. So, let the ideologues who don't really do much work and just opine on the Fed prattle on. Putin will determine the next 3%, not Yellen. Read More: Yellen Poised to Push Back at Inflation Hawks at Jackson Hole Editor's note: This article was originally published on RealMoney at 7:09 a.m. EDT on Friday, Aug. 22.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
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.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
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.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV