Jim Cramer weighs in on what investors need to know about balancing their portfolios.
Investors need to consult a weatherman before investing in this stock market, Jim Cramer told his Mad Money viewers Tuesday. That's because you never know which way the wind is blowing, and on Wall Street, it can blow in two different directions at the same time," TheStreet's Scott Rutt wrote in his Mad Money recap. "Investors are betting big on vaccines, for example, and that's a huge tailwind for travel, leisure, restaurants and a host of troubled retailers. But for the likes of Home Depot (HD) - Get Report and Walmart (WMT) - Get Report, life returning to normal is a headwind. Cramer said there's simply no way Home Depot will report another 24% boost in same-store sales when people aren't spending most of their time at home."
Rutt continued, "Meanwhile, investors are also gauging the winds around the incoming Biden administration. A vaccine, combined with better relations with China, could lead to a huge pickup for the airlines and especially for Boeing (BA) - Get Report and its many suppliers like Honeywell (HON) - Get Report."