Cramer's 'Mad Money' Recap: Markets Get Unexpected Break (Final) - TheStreet

Cramer's 'Mad Money' Recap: Markets Get Unexpected Break (Final)

Cramer says some encouraging comments about China along with Bernanke's comments on interest rates and the prospects of a stimulus bill helped the markets bounce back.
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NEW YORK (

TheStreet

) -- Jim Cramer told the viewers of his "Mad Money" TV show Wednesday that there were any number of reasons for why the markets were able to recover from a 92-point deficit this morning.

But regardless of which one was right, today's rally was a welcome break for investors, he said.

Cramer said there were a few factors pulling in the market's direction today, including positive comments from Australian metals giant

BHP Billiton

(BHP) - Get Report

, which gave reassurance that despite a slowdown in China, Chinese demand will still keep growing at a healthy rate. Cramer said these comments mirrored that of steelmaker

Arcelor Mittal

(MT) - Get Report

, which also confirmed that demand from China is still healthy.

Cramer said another reason the markets may have headed higher was that President Obama continued his hiatus from attacking Wall Street. No news from the White House is always good news for stocks, he said.

Then there was

Federal Reserve

chairman Ben Bernanke's testimony before Congress today, where he reaffirmed that the Fed won't tighten interest rates until the economy begins to recover. Cramer said Bernanke continues to do the right thing when it comes to what Wall Street needs to recover.

Cramer also noted that it appears Congress may be getting on board for a second stimulus package, one that actually creates jobs by repairing actual infrastructure.

All of these positives may be the beginning of something big, said Cramer, but even if they're not, they're still welcome news for investors. "Either way," he said, "we'll take it."

Natural Gas Crusade

In the "Executive Decision" segment, Cramer spoke with John Pinkerton, chairman and CEO of

Range Resources

(RRC) - Get Report

, another in a long line of natural gas producers hoping to change America's energy independent future.

Pinkerton said his industry needs to do a better job of telling its story and educating both Congress and the American people. He said the oil shale fields around the country are a huge paradigm shift for the industry, which is now able to bring reliable and consistent energy to the nation and the world.

Pinkerton even noted that if the country does not embrace natural gas soon, America will begin to export its clean burning natural gas, while still running 96% of its transportation infrastructure on crude oil which it imports from hostile nations.

When asked about efforts to construct a new natural gas pipeline from Alaska to the lower 48 states, Pinkerton said that project was conceived before the oil shale discoveries and is no longer needed with so much gas available around the country. Pinkerton even said the pipeline could be used in reverse, for exporting excess natural gas to countries like Japan.

When asked about Range Resources in particular, Pinkerton noted that the company will keep a strong balance sheet and that shareholders will be the big beneficiaries of increased production.

Cramer vowed to continue his crusade to help make natural gas the bridge fuel for the future. He continued his recommendation of Range Resources.

Dividend Boost

When it comes to dividends, the bigger the boost, the better the company, Cramer told viewers. He highlighted

Ross Stores

(ROST) - Get Report

as the next in his series of dividend-boosting companies that are screaming to the markets "business is great!"

Cramer said Ross, a off-price retailer with 1,000 locations in 27 states, boosted its dividend last week from 11 cents to 16 cents, an increase of 45%. The company also lifted guidance for its fiscal fourth quarter.

Cramer said Ross is a great regional to national story, as the company has plenty of room to grow. Management has already noted that it sees potentially 2,000 locations for Ross, and that's not counting new concept stores the company is developing.

Ross is also excelling in its operations, where it's been boosting traffic to its stores while lowering inventory for nine straight quarters. The company is also reducing employee turnover and controlling inventory and theft of its merchandise.

At just three points off its 52-week high, Cramer said Ross is still cheap, trading at just 11 times its 2011 earnings despite a 14% long-term growth rate. Cramer said he's under played just how great a story Ross Stores has become, and he'd be a buyer.

Am I Diversified?

Cramer spoke with callers to see if their portfolios have what it takes. The first caller's portfolio included

Home Depot

(HD) - Get Report

,

Harley Davidson

(HOG) - Get Report

,

Microsoft

(MSFT) - Get Report

,

Chesapeake Energy

(CHK) - Get Report

and

Carnival

(CCL) - Get Report

.

Cramer said Harley and Carnival are both discretionary stocks, but he felt this portfolio was perfectly diversified.

The second caller's top holdings included

Chevron

(CVX) - Get Report

,

Johnson & Johnson

(JNJ) - Get Report

,

AT&T

(T) - Get Report

,

Excelon

(EXC) - Get Report

and

Coca-Cola

(KO) - Get Report

.

Cramer said this portfolio was also well-played.

The third caller had

Conoco-Phillips

(COP) - Get Report

,

Berkshire Hathaway

(BRKB)

,

Apple

(AAPL) - Get Report

,

United Parcel Service

(UPS) - Get Report

and

Wal-Mart

(WMT) - Get Report

as their top five stocks.

Cramer also blessed this portfolio as diversified.

Lightning Round

Cramer was bullish on

Chevron

(CVX) - Get Report

and

RF Micro Devices

(RFMD)

.

He was bearish on

Petroleo Brasileiro

(PBR) - Get Report

,

Google

(GOOG) - Get Report

and

Bucyrus International

(BUCY)

.

-- 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

clicking here.

For more of Cramer's insights during the Lightning Round, clickhere

.

At the time of publication, Cramer was long Chevron, Home Depot, Apple, United Parcel Service.

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."

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