Search Jim Cramer's Mad Money trading recommendations using ourexclusive Mad Money Stock Screener and watch Jim Cramer's Mad Money Post Game videoexclusively on TheStreet.com.
NEW YORK (
) -- "We always presumed that the U.S. was the world's engine of economic growth," Jim Cramer told a live studio audience during his "Mad Money" TV show Wednesday. "But now we're the caboose, lagging behind Latin America, India and of course, China."
Cramer said he doesn't feel the U.S. is irrelevant, but when it comes to stocks, it's clear to see which countries are in the driver's seat.
, a stock which Cramer owns for his charitable trust,
Action Alerts PLUS. He said on the company's conference call, analysts didn't ask about the U.S., they asked about the demand in Brazil and China.
Cramer said shares of
fell today, not because of the U.S., but because of slowing same store sales in China. Railroad
traded higher too, on strength in exports to, you guessed it, China.
And the list goes on, said Cramer.
cited strength in China as a driver for its growth,
also keeps tabs on the far east, as does engine maker
Cramer said it's clear that by the fourth quarter, the employment train will be rolling, and despite which country or region is pulling it, even the caboose will come along for the ride. "Don't miss the trade," he told viewers, especially when the train is still sitting at the station.
In the "Executive Decision" segment, Cramer once again spoke with John Pinkerton, chairman and CEO of
, a company which this week became the first natural gas producer to publicly release the chemical makeup of the fluids it uses in hydraulic fracturing in its oil shale wells.
Pinkerton said Range Resources came to the conclusion that the firestorm that has been brewing over the perceived environmental impacts of hydraulic fracturing are really their fault for not properly educating the public. He said that 99.86% of the fluids used are simply water and sand, and he hopes the public disclosure will quash fears of toxic chemicals being pumped into the ground.
"We need to get ahead of this and be transparent," continued Pinkerton. "We have to get the facts out," he said. For example, in Pennsylvania alone, he said, the decrease in gas prices from the oil shale wells has saved Pennsylvanians over $6 billion.
When asked about the price of natural gas amidst a record heat wave in the Northeast, Pinkerton said that before the oil shale wells, the price of gas was volatile, but with the new wells, prices have even fallen during high demand, proving that the price is now very stable.
Cramer continued his support for both Range Resources and the entire natural gas industry as a whole.
New Aerospace Cycle
"The aerospace cycle is just taking off now," Cramer told viewers, as he highlighted the unlikely bull market in aerospace.
Cramer said this sector was all but left for dead in recent years, as fewer travelers meant fewer planes and therefore less profits for all. But that's all changing, said Cramer, as
noted in its conference call when it said that airlines had turned a corner, and were once again ordering new planes.
Cramer said this new aerospace cycle could last for seven years, as is typical for new cycles. He said the natural way to play is with
, whose new 787 Dreamliner is finally ramping into full production after years of delays and problems.
Cramer said Boeing trades at just 13.4 times earnings, while historically the company should fetch as high as 25 times earnings as the cycle gets rolling. But Boeing is not the only play, he noted.
Cramer also gave the nod to several parts suppliers to Boeing, companies like
, which makes landing gear,
, with makes electronics, and
, which now trades 18% off its recent highs.
Cramer also noted
are also names to consider, along with
, whose Cessna franchise makes corporate jets.
Cramer said there should have been lifeguards on duty during the "flash crash" on May 6. He said the lifeguards could have pulled the individual investor out of the water as the riptide of high-frequency trading roared out of control.
"The little guy doesn't stand a chance in this market," Cramer continued, "and the Securities and Exchange Commission needs to be the lifeguard."
Cramer said he's encouraged by recent comments from the SEC and others, stating that there needs to be fairness in the markets, and the causes of the flash crash need to be examined. He said whether it's more aggressive circuit breakers or deeper markets, changes need to be made.
Cramer said any market where a great stock like
Procter & Gamble
can be cut in half in just seven minutes is just too dangerous for most individual investors. He said the liquidity promised by flash trading hasn't come to pass, and hopefully, that will change soon.
Cramer was bullish on
Kansas City Southern
International Business Machines
He was bearish on
Research In Motion
-- Written by Scott Rutt in Washington D.C.
To watch replays of Cramer's video segments, visit the Mad Moneypage on CNBC
Want more Cramer? Check out Jim's rules and commandments forinvesting from his latest book by
For more of Cramer's insights during the Lightning Round, clickhere
At the time of publication, Cramer was long Intel.
Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for TheStreet.com, Inc., and CNBC, and a director and co-founder of TheStreet.com. All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of TheStreet.com or its affiliates, or CNBC, NBC UNIVERSAL or their parent company or affiliates. Mr. Cramer's opinions are based upon information he considers to be reliable, but neither TheStreet.com, nor CNBC, nor either of their affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Cramer's statements are based on his opinions at the time statements are made, and are subject to change without notice. No part of Mr. Cramer's compensation from CNBC or TheStreet.com is related to the specific opinions expressed by him on "Mad Money."
None of the information contained in "Mad Money" constitutes a recommendation by Mr. Cramer, TheStreet.com or CNBC that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. You must make your own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy mentioned on the program. Mr. Cramer's past results are not necessarily indicative of future performance. Neither Mr. Cramer, nor TheStreet.com, nor CNBC guarantees any specific outcome or profit, and you should be aware of the real risk of loss in following any strategy or investments discussed on the program. The strategy or investments discussed may fluctuate in price or value and you may get back less than you invested. Before acting on any information contained in the program, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.
Some of the stocks mentioned by Mr. Cramer on "Mad Money" are held in Mr. Cramer's Action Alerts PLUS Portfolio. When that is the case, appropriate disclosure is made on the program and in the "Mad Money" recap available on TheStreet.com. The Action Alerts PLUS Portfolio contains all of Mr. Cramer's personal investments in publicly-traded equity securities only, and does not include any mutual fund holdings or other institutionally managed assets, private equity investments, or his holdings in TheStreet.com, Inc. Since March 2005, the Action Alerts PLUS Portfolio has been held by a Trust, the realized profits from which have been pledged to charity. Mr. Cramer retains full investment discretion with respect to all securities contained in the Trust. Mr. Cramer is subject to certain trading restrictions, and must hold all securities in the Action Alerts PLUS Portfolio for at least one month, and is not permitted to buy or sell any security he has spoken about on television or on his radio program for five days following the broadcast.