The best way to sustain Friday's late rally is for the government to cut a back-room deal with the largest banks and brokerages to get them to start making loans again, Jim Cramer told viewers on his "Mad Money" TV show on Friday. On a day when Dow closed down 128 points after another extremely volatile session, Cramer said this "secret" meeting is necessary to get the economy, credit markets and stock markets rolling again and avoid a repeat of this past week's brutal market. Cramer said he would have the Federal Reserve take the initiative by inviting to the meeting the CEOs of large financial institutions such as Citigroup ( C), Bank of America ( BAC), Wells Fargo ( WF), JP Morgan ( JPM), Morgan Stanley ( JPM), and Goldman Sachs ( GS), the latter three of which he owns for his
Cramer: Shop for Yields
The New Game PlanCramer said that after the market's worst-ever weekly drop it's "time to change our incredibly negative bias," as stocks are no longer in endless sell mode. For Cramer it's time to "rent" some stocks, with a look at owning longer term if the market again approaches the lows seen on Friday. Cramer believes the market will chase those lows since the market rarely bottoms on a Friday, and the snapback by stocks was "too far, too fast."
Half-EmptyCramer likes that traders dodged a bullet on Friday, with a "spectacular" rally off the lows of the morning, but he believes it's important to lay out the worst-case scenario so investors can go forward "with their eyes open."