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NEW YORK ( TheStreet) -- Sometimes the secrets behind stock market rallies aren't really secrets at all, Jim Cramer told "Mad Money" viewers Thursday. He said it's clear there are three sectors driving the markets higher: the industrials, technology and everything oil and gas. Cramer said while some investors are focusing on the "as goes January, so goes the year" theorem, he'd rather focus on what's working. Take the industrials. It's no secret the industrials had been lagging as the U.S. stagnated, Europe was thrown into recession and China took a pause. But now that the U.S. is growing again, Europe is on the rebound and China is once again gearing up, it's no wonder Whirlpool ( WHR) is at a 52-week high. Housing is on fire, said Cramer, which is driving every stock that goes into a home as well as every diversified industrial company. Then there's tech. Apple ( AAPL) may be lagging, but new techs like Google ( GOOG) and Facebook ( FB) are picking up the slack, as are all of the cloud computing players. Finally, there's oil and gas. The American oil and gas revolution cannot be stopped, said Cramer, as evidenced by the 8.9% jump in Core Laboratories ( CLB). America is producing more oil than it has in 15 years, yet according to Core Labs, there still may be one or even two huge oil shale fields that we have yet to discover. Cramer said that usually there is narrow leadership in January, but this year there are many big themes sending the markets higher. Investors only need to look around.
Executive DecisionIn the "Executive Decision" segment, Cramer sat down with Bill McDermott, co-CEO of SAP ( SAP), a stock that took a hit when it offered preliminary earnings on Jan. 15, only to come roaring back when the full earnings followed. Shares of SAP are up 64% since Cramer first got behind the stock and are now trading just off their 52-week high. McDermott said his company's preliminary results didn't tell the whole story, which included two acquisitions and ended with the best year in SAP's 40-year history. He said once the company had a chance to explain the numbers, analysts and investors agreed that SAP continues to deliver for shareholders.
McDermott gave the case of the San Francisco 49ers, one of SAP's customers, which will be using its software to market everything from ticket sales to merchandise to food and beyond. He said the customer experience will be personalized and it will be mobile, reaching 49er fans wherever they happen to be. McDermott called SAP's solutions "precision retail" that focuses on customers and is device agnostic. Turning to elsewhere in the world, McDermott noted that sales in Europe were up 13%, almost five times more than their competitors. He said that happens because SAP keeps an eye on innovation and helps customers grow their businesses, even in tough times. Cramer said that SAP delivers on mobile, the cloud and big data, three of the hottest themes in technology.
Action Alerts PLUS . Mooney said KEY was able to deliver 7% year-over-year loan growth last year as well as increases in net interest margin and other key metrics. She said business and industrial lending was particularly strong and KEY also re-entered the credit card business, which helped the bottom line. Mooney also responded to a recent downgrade, saying the bank was swept up in a number of other bank downgrades, but she feels that her bank's loan growth, margin expansion and other efficiency programs will keep it ahead of the curve. "We have lots of momentum," Mooney concluded. When asked about KEY's dividend, Mooney said it was able to distribute 50% of its net income to shareholders last year and she hopes to deliver even more as capital requirements improve. Finally, when asked about the benefits geography gives KeyCorp, Mooney said that being in several different regions, including the southeast, midwest and northeast gives it diversification but also allows it to invest in each region for growth, taking advantages of the strengths each has to offer. Cramer said KEY remains the strongest regional bank he follows and said the recent downgrade of the stock was simply wrong.