Wednesday's selloff in the big oil names like
means opportunity in consumer staples such as
, Jim Cramer said on
"Stop Trading!" segment.
The sharp drop in oil names -- Occidental and Marathon were each off 5% late Wednesday -- amounts to a call by the market that the economy won't be strong enough to sustain high prices, Cramer said. He said that makes the so-called soap and soup stocks stronger buys heading into a possible slowdown.
Cramer said he believes
will continue to head higher as Kirk Kerkorian's restructuring-minded lieutenant, Jerry York, will keep whipping the company into shape. Cramer said GM's 3% rally Wednesday to $31 and change "is showing you the strength of this stock in a tape that is deadly." Cramer said he expects GM to hit $35 or $40.
, by contrast, is a tougher case, Cramer said. Sure, the stock is up off this summer's lows in spite of poor results. But Cramer said he fears the uncertainty behind the company's turnaround.
"Why did Bob Rubin really resign?" Cramer asked, referring to last month's departure from the board by the former Treasury secretary, ostensibly because of potential conflicts of interest with adviser
. "Is Ford just doing much worse than we think?"
At the time of publication, Cramer had no positions in stocks mentioned.
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