Stocks rose slightly Wednesday following earnings from tech giants Apple (AAPL) - Get Apple Inc. (AAPL) Report and Microsoft (MSFT) - Get Microsoft Corporation (MSFT) Report and aerospace giant Boeing (BA) - Get Boeing Company Report and as Wall Street awaited a policy decision from the Federal Reserve.
TheStreet's Jim Cramer warned investors on Tuesday's "Mad Money" episode not to be thrown by what he called "the negative prism" that can distort economic reality.
Cramer: Beware 'the Negative Prism'
Cramer said he believes markets closed lower Tuesday because the Centers for Disease Control and Prevention reversed its indoor mask policy.
The agency recommended that people should wear masks regardless of their COVID-19 vaccination status. However, the indoor mask policy is only recommended in areas of "substantial or high transmission."
"Once again we’re back in a world where it feels like stocks aren’t going up and the apocalypse is now," Cramer said.
The negative prism, he said is "not a true reflection of what are some truly amazing businesses."
He maintained that the CDC has been "consistently wrong" and now everybody is freaking out about the delta variant.
"Please, don’t take your cue from the day-to-day action because that just tells you you’re using the filter that we’re all using, instead of doing your own homework and making your own judgments,” he said.
Cramer added that "a lot of the trash that was thrown away today and tonight might just turn out to be the market’s treasure once we meet herd immunity."
He noted that we will reach herd immunity sooner than Wall Street expects.
"We just might not like how we get there.”
Tesla: Where Is the Magic?
The company posted stronger-than-expected second-quarter earnings Monday.
The shares were not performing well, however, prompting Cramer to ask "is somehow the magic lost, because this wasn’t the quarter?"
"I’m a little bit surprised honestly," Mauer said, "because I think Tesla did crush it. Maybe some of the comments on the earnings call weren’t investors looking for ... I’m definitely super-happy with the results personally."