Publish date:

Morning Bell With Jim Cramer: Tech, Inflation and Oil

TheStreet's Jim Cramer takes a look issues surrounding inflation, tech and energy.

Stocks traded higher Friday as U.S. retail sales rose more than expected and investors assessed Federal Reserve Chairman Jerome Powell's repeated assurances that rising price pressures will only be temporary.

TheStreet's Jim Cramer shared his views on inflation, tech stocks and energy with Action Alerts PLUS senior analyst Jeff Marks. 

Cramer on Inflation: Tech Is the Way to Go

Cramer advised investors to look to tech stocks when inflation is rising.

"We have to look at the real components of inflation," Cramer said. "They’re actually stark. One is used cars. Not a lot of used cars are really impacting Microsoft’s  (MSFT) - Get Report bottom line. The second is energy."

Cramer said that companies like Alphabet's  (GOOGL) - Get Report Google have been carbon neutral since 2007. 

The semiconductors that are short, Cramer said "are full-featured semiconductors, they're not high performance semiconductors."

TST Recommends

"High performance semiconductors are what Taiwan Semiconductor  (TSM) - Get Report makes," he said, "so these companies are uniquely insulated from the three most important forms of inflation."

Cramer on Oil Prices: Don't Go Against the Data

Turning toward energy, Cramer spoke about Real Money columnist Carley Garner's views on the oil market.

In her recent column, Garner said that it's "probably naïve to assume oil is immune from the boom-and-bust commodity cycle that has been on display in 2021 and has existed since the beginning of time."

For his part, Cramer said, "I'm not going to go against that data."

"I think if you're in the oil business," he said, "you have to be absolutely nuts for not opening those wells that you had that need the last bit of completion."

Alphabet and Microsoft are holdings in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells these stocks? Learn more now.