Jim Cramer's 'Mad Money' Recap: Wall Street Is Confused

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NEW YORK (TheStreet) -- Today was one confusing day on Wall Street, Jim Cramer admitted to his Mad Money TV show viewers Thursday. Cramer said the market is full of confusing cross-currents that has even him wondering if there's something big lurking around the corner.

It just doesn't make sense that interest rates are falling while business is improving. The mining and minerals stocks such as Freeport-McMoRan (FCX) are bouncing, yet there's no news to support that bounce. Alcoa (AA) was up 6% Thursday while most of the market still fears a Chinese slowdown or trouble in Russia.

Some of the banks failed their stress tests, but that doesn't explain why those that passed  -- and are returning more capital to shareholders  -- didn't rally.

Then there are the analysts. It's eerily quiet on Wall Street, Cramer said. Facebook (FB) clearly made their earnings murky with their last two acquisitions but the analysts have said nothing, pro or con, about the deal. Google (GOOG) is trading at a low 17 times 2015 earnings. No analyst chatter there either.

Then there's Lululemon Athletica (LULU), which delivered a lackluster quarter but share shares up 6%, well, just because.

Are the markets in the process of bottoming, or is there something lurking we just can't see? Cramer said he's not quite sure yet.

Executive Decision: Burton Goldfield

For his "Executive Decision" segment, Cramer sat down with Burton Goldfield, president and CEO of TriNet Group (TNET), which came public Thursday, rising 19% by the close of trading. Cramer said TriNet's performance stems from the fact the company has real profits and a legitimate valuation based on earnings.

Goldfield explained that TriNet is a one-stop shop for small and medium-sized businesses to have their payroll and health and benefit plans serviced professionally and affordably. He said his company offers three components: HR services provided by 300 people in 60 offices, a "backbone" that processes five million transactions a month and over 105 health and benefit plans.

When asked about Obamacare, Goldfield said the Affordable Care Act, as it is more formally known, has been great for business. TriNet has plenty of plans that qualify and can assist smaller companies as they navigate new territory.

Cramer said that unlike many of the untested IPOs of late, TriNet is a real winner.

Cramer's Playbook

In this week's installment of "Cramer's Playbook," Cramer answered the question of whether someone in their 30s should ever own series I or EE savings bonds.

In a word, never. Cramer said you work hard for your money, so you should be making your money work hard for you. The whole point of savings is to create wealth.

Isn't that what savings bonds do?

Well, Cramer explained the series I bonds currently pay a paltry 1.38%. "That's dead money," Cramer said, barely better than sticking it in your mattress and far worse than a 30-year Treasury bond paying 3.52%.

Series EE bonds are even worse. They offer double of your money, but only after 20 years. Before then, series EE bonds pay just .1%, less than a CD from your bank.

Given that mortgage interest rates are hovering around 4% and student loans can top 6%, Cramer said younger investors would be far better served by just paying off their debts early, then investing in stocks.

If you're over age 60, Cramer said, only then should bonds be considered a part of your portfolio.

Lightning Round

In the Lightning Round, Cramer was bullish on Marathon Petroleum (MPC), Valero Energy (VLO), Carlyle Group (CG) and Blackstone Group (BX).

Cramer was bearish on Rite Aid (RAD), Infoblox (BLOX), Wynn Resorts (WYNN), Las Vegas Sands (LVS) and Insys Therapeutics (INSY).

Executive Decision: Marty Mucci

In his second "Executive Decision" segment, Cramer spoke with Marty Mucci, president and CEO of Paychex (PAYX), a stock that's up 22% over the past 12 months as the economy begins to improve.

Mucci said he still sees lots of opportunities for growth, even with increased competition entering the payroll industry. He said Paychex has 600,000 clients and is ready to compete with anyone.

When asked about the economy overall, Mucci said the average number of checks per payroll is still rising, while new business formation remains sluggish. But with housing starts increasing and consumer confidence up, the signs are pointing towards a continued recovery.

To help illustrate that point, Paychex will soon start publishing a monthly economic report that will track the growth of employment in the U.S. as measured by some 350,000 of Paychex' clients.

Finally, Mucci agreed with Cramer that the Internal Revenue Service is getting more aggressive in enforcing payroll rules, especially regarding overtime -- which is why more and more businesses are turning to Paychex.

Cramer said that not only is Paychex' stock cheap, it also has a good yield and is going higher.

No Huddle Offense

In his "No Huddle Offense" segment, Cramer opined on the failed initial public offering of King Digital (KING) Wednesday.

Cramer said he had high hopes this deal would make money when he recommended it last week on Mad Money, but then things changed -- the market became flooded with new IPOs, far more than the market could handle.

Cramer said he blames the bankers on the King deal for not lowering the price and shoring up demand. On paper, pricing the stock at $21 to $22 may have made sense but on the floor of the exchange it was clear this was a deal gone too far.

Cramer questioned why the deal was brought at all. Why now? Clearly the bankers saw the flood of new issues and knew it would have been more prudent to wait it out.

To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.

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-- Written by Scott Rutt in Washington, D.C.

To email Scott about this article, click here: Scott Rutt

Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDC

At the time of publication, Cramer's Action Alerts PLUS had positions in FB and GOOG.

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