Jim Cramer recommended a basket of "Bernanke Bank Stocks" on his "Mad Money" show Monday night, which included such names as Citigroup (C) - Get Report and Bank of America (BAC) - Get Report. All but one of the stocks Cramer was bullish on traded higher Tuesday.
On Tuesday, shares of Citigroup closed higher, up $0.18, or 7.73% to $2.51. Shares of Bank of America closed higher, up $0.09, or 1.46% to $6.27. Shares of
closed higher, up $0.74, or 5.37% to $14.52. Shares of
closed lower, down $0.09, or 1.49% to $5.97. Shares of
closed higher, up $0.96, or 7.01% to $14.66.
According to Cramer,
Chairman Ben Bernanke's comments -- in a recent "60 Minutes" interview -- about preserving the American financial system are fueling the bank stocks' rally.
Cramer recommended a basket of what he called "Bernanke Bank Stocks" that he said are now just too cheap to pass up. This basket of stocks, he said, "could be exciting": Citigroup, Bank of America, U.S. Bancorp, Blackstone Group and Wells Fargo.
Cramer said he's also bullish on the "trade-down" trend of consumers opting for private label brands over brand names. For that trend, he said he still likes
On Tuesday, shares of Family Dollar shares of closed higher, up $0.95, or 3.11% to $31.54. Shares of Ralcorp closed higher, up $1.66, or 2.99% to $57.19. Shares of TreeHouse Foods closed higher, up $0.34, or 1.19% to $28.96.
At the time of publication, Cramer was long Wells Fargo via his
Action Alerts PLUS portfolio.
Jim Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for
Action Alerts PLUS. Watch Cramer on "Mad Money" weeknights on CNBC. Click
here to order Cramer's latest book, "Mad Money: Watch TV, Get Rich," click
here to order his book, "Real Money: Sane Investing in an Insane World," click
here to get his second book, "You Got Screwed!" and click
here to order Cramer's autobiography, "Confessions of a Street Addict." While he cannot provide personalized investment advice or recommendations, he invites you to send comments on his column by
TheStreet.com has a revenue-sharing relationship with Traders' Library under which it receives a portion of the revenue from Traders' Library purchases by customers directed there from TheStreet.com.