Jim Cramer's 'Mad Money' Recap: Watch Your Back

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.

NEW YORK (TheStreet) -- Don't let your guard down after today's rally, Jim Cramer told his Mad Money viewers Monday. Cramer said the markets still have a big problem to contend with, and it's not Argentina or the Federal Reserve.

Read More: Warren Buffett’s Berkshire Hathaway Has the Most Cash in America

The pundits have many theories for last week's market decline, Cramer told viewers, but the real reason for the market's turmoil remains Russia. He called Russia the "hidden bear" of the stock market and one that's not talked about enough.

Cramer said the market's troubles all began after the Malaysian Airlines flight 17 was shot down over Ukraine. The tragedy was called a "game-changing event" in one company's conference call as both sanctions and increased tensions in the region could easily send all of Europe back into recession.

Russia could also turn off the natural gas supply to Europe, Cramer explained, and that's something global companies couldn't withstand. The conflict is also taking its toll on the airlines, with a survey pointing out that 36% of travelers are now afraid to fly internationally.

That's why Cramer said investors need to keep a close eye on their stocks. The market could once again turn on a dime if more news from Russia hits the headlines.

Executive Decision: Sandy Cutler

For his "Executive Decision" segment, Cramer  spoke with Sandy Cutler, chairman and CEO of Eaton (ETN), a stock which Cramer owns for his charitable trust, Action Alerts PLUS. In mid-July, Eaton lowered earnings estimates, a move that garnered three analyst downgrades in a single day.

Cutler said that Eaton always tries to be transparent for its shareholders but admitted that his company has been involved in some complicated transactions that have been difficult for investors to digest.

For instance, the company did look into the possibility of spinning off its vehicle divisions but discovered it is not allowed to do a tax-free spin off for five years since the acquisition of Cooper Industries. Cramer said Eaton never had any intent to do such a spinoff, but did the homework at the urging of shareholders.

Cutler clarified that Eaton was able to hit its revenue targets, exceeded earnings by 1 cent a share, settled some legal issues and sold two of its aerospace businesses, all while continuing to integrate Cooper Industries. All of those points, he said, made for a complicated quarter.

Read More: Dodge to Tesla: Eat Your Heart Out

Cutler said he sees positive trends for the second half of 2014 and remains confident in the synergies from Cooper.

Cramer, on the other hand, said Eaton remains a company that's difficult to get your arms around.

If you liked this article you might like

Fight Off Complacency: Cramer's 'Mad Money' Recap (Fri 9/15/17)

Cramer: Another Reason to Be Skeptical of the Government

The Industrial Renaissance Is Upon Us -- Jim Cramer Reveals How to Play It

Blue Apron, Philip Morris, Honeywell, Becton Dickinson: 'Mad Money' Lightning Round

Buy These High-Octane Stocks on a Dip: Cramer's 'Mad Money' Recap (Monday 8/7/17)