This column was originally published on RealMoney on Aug. 16 at 10:08 a.m. EDT. It's being republished as a bonus for TheStreet.com readers. For more information about subscribing to RealMoney, please click here.

We can handle

Countrywide

(CFC)

going out of business. We certainly have to be ready, because

it now seems like a possibility.

I know it seems like we can't. But this was

the 1990 experience, companies like Countrywide were falling apart left and right.

Could we handle

Washington Mutual

(WM) - Get Waste Management, Inc. Report

and

Wachovia

(WB) - Get Weibo Corp Sponsored ADR Class A Report

going? Again, they made bad loans to homeowners, so they could be collateral damage to

the Poole plan.

Could we handle a total trashing of

Bear

(BSC)

to the point where it gets bought for a much smaller amount? Yes. Not a problem. They need to be punished under the Poole plan.

Could we handle

Bank of America

(BAC) - Get Bank of America Corp Report

going?

Harder. Might be an issue.

I don't think the Fed wants that to happen. And I like the way the stock acts because of that huge deposit base. It might consider Bank of America a crisis. The others

are not crises

.

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Can the stock market handle this stuff? As in 1990, a huge percentage of stocks will go down. (I agree with

Bob Marcin on this, although he thinks that I believe that everything will go down. I am also closer in thinking to

Doug Kass than I have been since we started this site.)

I never, ever again in this period want to hear about the underlying fundamentals. They are not in control of this period. In fact, they are meaningless for the short term. Meaningless. And it is a sop to the public to talk about them. That's what I heard endlessly in the week before the October 1987 crash. It is a joke.

Can you sidestep this? If you have cash or can short, yes, although this is a really tough level to short because

the oscillator is so negative. I want to emphasize that it is possible that we can bounce simply because we are too over sold. That means bounce and make sales as we get less oversold.

Am I being too negative?

That's just a stupid question. We have

the Fed's game plan. They mean it when they say that they would rather tighten than ease. They see the good business that the

Honeywells

(HON) - Get Honeywell International Inc. (HON) Report

and the

GEs

(GE) - Get General Electric Company (GE) Report

are doing, and they want that cooled.

I am

not

making this up.

You just need to know it.

General Electric owns CNBC, for which Cramer is a featured commentator. At the time of publication, Cramer had no positions in any of the stocks mentioned in this post.

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

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