Jim Cramer's 'Stop Trading!': Buy Freeport
Buy Freeport-McMoRan (FCX) - Get Report, Jim Cramer said on CNBC's "Stop Trading!" segment Wednesday.
Cramer said that the copper and gold company stands to benefit from a global infrastructure buildout. Domestically, he said, "I don't mind that the Fed is so called out of bullets." Of today's bearish action, he said, "We're shaking out a lot of bulls. That's not bad. ... If oil were to go up 50 cents a day rather than $5 a day, this wouldn't be happening.
Cramer said that trouble for domestic homebuilders such as
WCI Communities
(WCI)
and
Standard Pacific
(SPF)
is offset by demand for homes in India. America is "very ethnocentric. ... We are not the swing factor," in basic materials such as coal, copper, cement and steel, he said.
"Let it come in," Cramer advised viewers. He said that "you gotta buy gold" for a trade that will work in the market action we're seeing today.
Of
Thornburg Mortgage
(TMA)
, Cramer said he's concerned about the stock. "I would be careful," he said.
On the other hand, Cramer said
Dow Chemical
(DOW) - Get Report
is interesting here.
Cramer concluded by saying that he believes
American International Group
(AIG) - Get Report
merits an investigation by the
Securities and Exchange Commission
for statements made in a teach-in at the end of 2007. He expressed skepticism that the company could say it had low exposure to troubled paper, then come back in May with $20 billion in losses.
He also expressed sympathy for
Microsoft
(MSFT) - Get Report
CEO Steve Ballmer, who was recently egged by an angry student while speaking in Budapest. "I like Steve Ballmer," he said.
At the time of publication, Cramer was long Freeport-McMoRan.
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