Stocks rose Friday and traded at record highs after a considerable slowdown in a U.S. labor market recovery boosted chances of more economic stimulus from Congress.
The Dow Jones Industrial Average rose 196 points, or 0.66%, to 30,165, the S&P 500 gained 0.68% and the Nasdaq was up 0.49%.
TheStreet's Katherine Ross discussed breaking news in the stock market. Cramer spoke about theater stocks, Ulta's earnings and what should the next stimulus package be like.
AT&T: Buy Or Sell?
Theater stocks were falling Thursday after AT&T's (T) - Get Report Warner Bros. Picture Group said it would release all its new films on its HBO Max streaming platform concurrently with theater releases in 2021.
Cramer said this will be devastating for theater stocks."I hate these stocks. I have hated them for some time now. This is the death knell for these guys. AT&T is up and that's interesting because this will bring out more value. When you try to come up with places that are the worst in this pandemic, it's movie theaters, bars. I don't care if you socially distance or clean the seats there is a viral load that builds up. The viral load is aboard ships, stores and movie theaters. You just can't go there."
Ulta: Buy Or Sell?
Cramer said Ulta is a buy right here. "It is a company that is going to get to the promised land. They are going to survive and thrive because of their 31 million people who are in the royal ultimate club. The stock is down and this a great opportunity. The reason why I say it's an opportunity is that it's very hard to find a stock that will do as well as Ulta when we get the economy opened up. It's going to be rolled out in all the Targets."
Chances have increased that Congress could reach a stimulus agreement by the end of 2020.
Cramer said he wanted a targeted stimulus package. "Of all the industries that are being wrapped but mostly small and medium-sized businesses that don't have the ability to take out tables at a restaurant, have social distancing at a small store. They can't afford the drop off in revenues while their electricity, the worker's comp and rent stay the same. When these companies all go under while we wait for a vaccine."
Cramer continued, "If we get the vaccine it's going to be much harder to start the economy up again. Small and medium-sized businesses create more jobs compared to the likes of companies such as Amazon which wipe out more jobs. People who go out and then get sick eventually get removed from the labor force."