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Stock Market Today With Jim Cramer: The Phenomenon of Cathie Wood

Jim Cramer discusses the latest stock market news including how to trade Lowe's after earnings, Cathie Wood's investment into Tesla and markets on Wednesday.

Stocks rose Wednesday after Federal Reserve Chairman Jerome Powell reiterated the central bank will continue to support the U.S. economy.

TheStreet's Katherine Ross and Jim Cramer discussed breaking news in the stock market. Cramer spoke about how to trade Lowe's after earnings, Cathie Wood's investment into Tesla and markets on Wednesday.

Lowe's: Buy Or Sell?

Lowe's Companies  (LOW) - Get Lowe's Companies Inc. Report posted stronger-than-expected fourth-quarter earnings Wednesday and reiterated its late-December profit forecasts.

"Strong execution enabled us to meet broad-based demand driven by the continued consumer focus on the home, with growth over 16% in all merchandising departments, over 19% across all U.S. regions, and 121% on," said CEO Marvin Ellison. 

Cramer said Lowe's had a good quarter. "Lowe's is a special situation because their e-commerce is coming on, they have fixed their stores. The big season for Lowe's is in the spring, they're buying back stock. I would buy Lowe's right here and some more when it is down 25 points."

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Tesla: Buy Or Sell?

On Tuesday, ARK Invest's Cathie Wood bought the 13% dip in Tesla  (TSLA) - Get Tesla Inc. Report as the tech stock and automotive company offered a rare discounted buying opportunity.

Cramer said Cathie Wood is a great growth investor and endorsed her decision to buy Tesla. "The interest rate environment says to stay away from the stocks that she is buying. She is an incredible stock picker, however, the law of large numbers, and the amount of money she has coming in, makes it very difficult for her to find stocks that are down big. She is bigger than the market right now which means she is going to suffer."

Markets on Wednesday

Cramer said it's a commodity rally and the cyclical stocks are on fire largely driven by oil. "Boeing  (BA) - Get The Boeing Company Report is also breaking out. The fact that this stock has been able to power through the turbo crash of an engine tells me that you've got a rocketship coming here."

Boeing is a key holding in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells the stock? Learn more now.