Stocks were lower in intraday trading on Thursday and TheStreet's Joseph Woelfel noted that Treasury yields hit a one-year high as fears of higher inflation resurfaced despite Federal Reserve Chairman Jerome Powell downplaying the risks of increasing price pressures.
While Jim Cramer reemphasized his view that Twitter (TWTR) - Get Report stock is the key to the market Thursday, he told TheStreet Live that the rise in interest rates has investors spooked. "I think it's wrong to be spooked because they're [interest rates] are still low relatively," Cramer added.
Jim Cramer talks GameStop, President Biden's chip order, SPACs and more in the video below:
Twitter has a long-term game plan.
The company, in a Securities and Exchange Commission filing published Thursday ahead of its annual investor day conference, said that revenues can rise from $3.7 billion in 2020 to more than $7.5 billion by 2023 as daily active users rise to 315 million. The company also repeated its aim of targeting an adjusted EBITDA margin of between 40% and 50%.
"2020 was an extraordinary year for Twitter. We are more proud than ever to serve the public conversation, especially in these unprecedented times," CEO Jack Dorsey said after the Q4 earnings release. "Our product changes to date are promoting healthier conversations for those who use our service, including advertisers and partners, and we are excited about our plans to continue innovating in 2021."
"How do you even pull off what the buyers of GameStop did in the last hours of trading and beyond? How is it possible to have that kind of concentrated buying to get a stock going like that? First, I have never done it, so I am not sure it would work. Second, the actions I am describing could easily be found to be illegal by any prosecutor under the broad powers of the Securities and Exchange Act of 1934. Third, there might be myriad other ways to do this, but here's one that could conceivably have been used. Again, because we are in the vast conspiracy moment of this market, I don't know this was done, it is strictly theoretical," wrote Cramer in his daily column for Real Money.
"In order to get a stock to move you need to get people who are making orderly markets, the options markets, to be caught off guard. They have to be able to lay off their risk at the time of buying so they don't get caught short without a hedge," he wrote.
During TheStreet Live Cramer added said that GameStop traders need to be more focused on the lack of a plan coming from GameStop management rather than market action in the stock.
Curious about what Jim Cramer and his team at Action Alerts PLUS are watching in the markets? Watch Cramer's exclusive members-only Daily Rundown show on Action Alerts PLUS following TheStreet Live.
Daniel Kuhn contributed reporting to this article.