NEW YORK ( TheStreet) -- "Wait it out and stay the course," were Jim Cramer's only comforting words to the viewers of his "Mad Money" TV show Thursday, after yet another horrible day on Wall Street. Cramer said until we get more clarity out of Europe, our only defense will be in cash and high-dividend yielding stocks. Cramer said that when Treasury Secretary Tim Geithner said last week that there will be no more Lehman Brothers-style bank collapses in Europe, that didn't mean that there wouldn't be more pain, and more days like today. He said the Europeans seem to be doing all of the wrong things, like raising interest rates and not forcing their banks to raise more cash. But Cramer stopped short of comparing today's markets to that preceding the Great Depression or even that of a great recession. He said that 91% of the country is still employed, and our banks are in much better shape than they were just a few years ago. Cramer said while the Federal Reserve's new "Operation Twist" may fail to yield meaningful results, Fed Chairman Ben Bernanke, along with Geithner, are students of history and are not bound to repeat those mistakes. Cramer even went as far as to defend the ailing Morgan Stanley ( MS), saying that his earlier comments about the company may have been too harsh. Cramer said Morgan Stanley is making a ton of money, even in this challenging environment, and the rumors of exposure to French banks are simply false. Even with at least some of our leaders doing the right thing, Cramer said the pain will continue, and the only place to hide will be in cash and of course, with high-yielding dividend stocks that offer a cushion as the markets head lower.
Ripe for a ReboundIn this installment of his "Time For Tech" series, Cramer highlighted EMC ( EMC), a stock which he owns for his charitable trust,
Value PlayIn his "Paid To Wait" segment, Cramer did some homework on Clorox ( CLX - Get Report), a recession proof name that is currently yielding 3.6% and has a 34-year track record of consecutive dividend raises. Cramer said Clorox is exactly the kind of company investors should be considering in times of turmoil. He said the company does have its challenges, like rising commodity costs, but its stock represents a real bargain given the company's turnaround plans and market opportunities. A full 90% of Clorox products are either No. 1 or No. 2 in their class, but that doesn't mean the company is standing still. It's in the middle of a multi-year turnaround effort to capitalize on emerging trends and make their brands more relevant. Clorox' acquisition of Burt's Bees, for example, is a play on the trend towards all natural products, and the company is also hard at work making new eco-oriented cleaners and pushing its Brita water filters as a replacement for bottled water. Cramer said Clorox can do a lot in the cost-cutting department as well, helping to offset rising costs. The company also has a huge international opportunity ahead of it, with only 20% of sales currently coming from overseas. Shares of Clorox trade at 16 times earnings an the company has a 10% long-term growth rate. Cramer said he'd start a position right here, and buy more in increments as the markets trend lower.