Updated from 10:05 a.m. EDT
Friday was a bloodbath. As has been the case for quite some time, rising oil prices and concern over the financial sector led the sharp move down. The
closed below 12,000 for the first time since March 17, with
leading the way. The only Dow 30 component in positive territory was
The oil spike was due largely to rumors that Israel performed a test run for an attack on Iran, as well as to doubts about China's ability to reel in its appetite for fuel.
Investor sentiment is hugely negative, and many are calling for more pain as bank estimates are continually slashed amid worsening credit.
With this in mind, we thought we'd take a look at the most-searched stocks on
from the prior trading day and find out what
These stocks could be in the news for a number of reasons. Some require immediate attention; others may not. Regardless, it never hurts to hear what Cramer (or any of the other professional investors on the site) has to say about them. The key is to gather as much information as you can in order to make the most informed investment decisions you can.
Bank of America
being big movers Friday, we'll kick it off today with
, Cramer breaks down financials, including Morgan Stanley:
"How unbelievable is the endless bottom-calling in banks and financials? I can see why we want to do it. There has to be some value there. Has to be.But I can't find it. I do believe -- and I have been chipping away at -- Morgan Stanley, but that is precisely because I don't see the value in Citigroup (C) - Get Report, Merrill Lynch (MER) and Lehman Brothers (LEH) . Business is going to go away from them if I am right. In other words, there could be some share take and that's worth buying something for. I can bottom fish in MS, unlike what the Wall Street Journal says, because it doesn't need capital and I can count on one hand those banks that don't need capital. All of those companies MUST deny this or else how can they raise capital!! I think that too many people are taking their cue from the BKX which isn't coming down. Why is it a false tell? Because what matters with banks is RESERVES, not price action, and reserves are too low. So, you can call a bottom in "the banks" and then be in the bank that has too low reserves. Let's take the case of Wells Fargo (WFC) - Get Report. I like this bank but I believe it might need more capital. The fact that it rallied off the $24 level is of no interest to me if it needs reserves. But it seems to be of endless interest to the bottom callers. Of course, I understand where all of this comes from, which is the incredible move we had in the financials since January, where a BAC went from $36 to $45 in a heartbeat. Who doesn't want to catch that one? Maybe we get the same again, is what people are probably thinking. But at that point we still had the Fed as our friend and we had Congress getting involved in the housing mess and we had a sense that banks had unlimited power to capital raise. All three are gone as a prop now. So, I am not a bottom caller UNLESS there is a big share-take going on, and the only one I know of is Morgan Stanley."
- I think that Merrill needs capital big time. I know that because of how much John Thain says they don't, and that's become a reliable indicator.
- I think that Citigroup has no plan whatsoever - nor a handle on what's been done there before Vik got involved.
- believe Lehman needs more capital because of London mortgages and because of the bad 2007 vintages on its books.
For more of Cramer's opinions on Friday's most-searched stocks, , including
, check out the
portfolio at Stockpickr.com.
(Editor's note: At the time of publication of this article and/or of original publication of his posts and shows, Cramer owned for his Action Alerts PLUS charitable trust. Cramer is a featured commentator for
, which is owned by General Electric; as part of his contract, Cramer holds restricted shares in GE.
Stockpickr is a wholly owned subsidiary of TheStreet.com.