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NEW YORK (TheStreet) -- We're nowhere near the level where interest rates can hurt the economy, Jim Cramer told his Mad Money viewers Tuesday. That's why he's using the bond-induced weakness in the markets to do some buy, buy, buying.

When positive things happen, stocks tend to go higher. That may seem like a simple notion but for many bond traders, the fact that European interest rates are creeping higher because, well, things are actually getting a little better, can only mean "Sell everything."

The fact remains that for the industrial, chemical and paper stocks, a weaker Europe has only led to repeated earnings estimate cuts. But now that Europe is on the mend, estimates can finally be raised. A stronger Europe will also buoy China, which sells a sizable portion of its goods there.

Meanwhile, here in the U.S. stocks like Pall Corp (PLL), which does 40% of its business in Europe, can catch a takeover bid and pop 20% in a single session.

Cramer reminded viewers that it's not the direction but the velocity of interest rates that matters. As long as rates creep up slowly, our economy and stock market will do just fine.

Believe in AOL

"Sometimes you just have to believe," Cramer told viewers. That's not always easy because there are skeptics at every turn.

Case in point: AOL (AOL), the former dial-up Internet giant that's reinvented itself as a search and advertising platform rivaled by only Google (GOOGL). When the company reported on Monday, it posted terrific numbers, with video, mobile and advertising segments all performing well.

But then on Tuesday, an analyst downgraded AOL from hold to sell, citing its accelerating decline in dial-up subscribers. What the analyst failed to consider however, is that dial-up doesn't matter. What matters is video, mobile and AOL's advertising platform.

For all those who didn't believe and sold on that recommendation missed out on today's $50 a share bid by Verizon (VZ), a full $11 a share higher than where they were trading just yesterday.

That's why sometimes you have to ignore the skeptics and just believe that the companies behind the stocks in your portfolio know what they're doing, Cramer concluded.

Executive Decision: Martin Schroeter

For his "Executive Decision" segment, Cramer sat down with Martin Schroeter, CFO at IBM (IBM), at the home of Watson, the company's new cloud-based analytics platform.

Schroeter explained IBM builds solutions that solve clients' most difficult problems. Watson is just the latest tool to help them do that and represents several hundred patents. IBM currently has a $17 billion analytics business and Watson is being plugged into that business with an ecosystem that its partners can build on.

In the case of health care, which will be Watson's first task, the system can scan over 12 million medical journal articles and make correct diagnoses in just hours versus weeks. Watson's user-friendly output is then made available to doctors on an iPad. Watson can see patterns that humans simply can't, Schroeter said, because it scans all the data and not just a sub-set of the data.

Watson will also soon be put to work analyzing social media feeds, interpreting trends and making predictions as it scans millions of posts around the globe in multiple languages. Here, too, Watson is able to spot trends in mountains of data that humans couldn't possibly see by themselves.

Off the Tape

In his "Off the Tape" segment, Cramer sat down with Ben Kaufman, founder and CEO of the privately held Quirky, number 15 on CNBC's "Disruptor 50" list of the hottest start-ups.

Kaufman explained that Quirky exists to help make inventions as successful as possible. Every week, thousands of ideas and inventions are submitted to the company's Web site and world votes up the best ones, which Quirky then helps make into successful products.

Before Quirky, Kaufman noted, people would spend their life savings trying to turn their ideas into reality. But now, by simply submitting them to Quirky's Web site, those ideas can be unlocked.

Quirky currently focuses on household items, including small appliances like coffee makers and pet food dispensers. The company also has partnerships with big names like Amazon.com (AMZN) and General Electric (GE) to take the ideas that Quirky fosters even further.

Lightning Round

In the Lightning Round, Cramer was bullish on McCormick (MKC), WhiteWave Foods (WWAV), Rite Aid (RAD), Southwest Airlines (LUV), MetLife (MET) and Travelers Companies (TRV).

Cramer was bearish on Linn Energy (LINE), Exelis (XLS), Pandora Media (P), Clean Energy Fuels (CLNE) and Sprouts Farmers Market (SFM).

Off the Charts

In the "Off The Charts" segment, Cramer went head to head with colleague Carly Garner over the direction of commodities, which have been lagging the rally in oil.

Garner looked at a weekly chart of the Dow Jones-UBS Commodity Index and noted that while oil has bounced 50% from its lows, the rest of the commodity group has barely rallied 10%. She felt that corn, wheat, soy and even gold were looking undervalued.

Turning to a longer-term monthly chart, Garner noted the index has a floor of support at $100, a level it last saw in the depths of the great recession in 2009. To find a level below $100, one would have to look back to 2002. Garner felt that commodities cannot sustain such a low level for long.

With Europe about to turn and China following suit, Cramer said he agreed with Garner's analysis that perhaps it's time to start increasing your commodity exposure.

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

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At the time of publication, Cramer's Action Alerts PLUS had a position in GOOGL and WWAV.

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