NEW YORK (TheStreet) -- On CNBC's "Cramer's Stop Trading" segment Tuesday, Jim Cramer said chips and regional banks are the hot sectors investors should be keeping track of right now.
"There's a lot of talk of a big deal coming in this group," Cramer said of the chipmakers, noting that shares of Xilinx (XLNX) are rising after Pacific Crest's upgrade today to buy from hold. The group is "so red hot it's transcending anything right now."
Another "red-hot" sector is regional banks, which are rising after the U.S. Commerce Department reported a 20% increase in April housing starts.
Oppenheimer's upgrade of Fifth Third (FITB) on Tuesday is helping the sector, although Cramer said he prefers Keybank (KEY) or First Horizon National (FHN) over Fifth Third.