Gains at the open although still on track to break that twomonth winning streak plus pharmaceutical stock rallying ahead of the open, this after Johnson Johnson received a smaller than expected judgment against it involving its sale of opioids. And facebook targeting snapchat again the social network reportedly developing a new messagingapp that would allow even more sharing between friends. Sharing. We share look. Were always sharing. The market is up. Receive watched this market from 3 30 this morning up until now, and theres nothing. Nothing nothing i mean, not even the bonds theres nothing. But people will foment reasons its going up and i refuse to do that you refuse to do what to explain right i think a lot of people recognize that without a new tweet thats disruptive, theyd better get a little longer well get back to fundamentals for while until were interrupted by a new update from the trade war. Hard to know which way thats going to go. Yesterday, jim, we obviously noted this
68 points and the s p declined 22. 4 and the nasdaq fell fell. 70 . When it comes to everything from aerospace and elevators consumer packaged goods, coal oil and now computers and cell phones if its getting sold in china its getting obliterated i think china became the marginal buyer of everything the place where all hopes and dreams have come from in that thesis true or false is now fall apart because of that chinese stock market crash earlier this month. That was the sign that growth has peaked in china. Money managers now think that its all down from here. No, no china, mighty china is now regarded as a paper tiger. Lets take apple, the subject of endless, after reporting one of the greatest quarters i have ever seen in all my life. China has become a larger and larger part of apples growth and the ceo makes no bones about how it will ultimately become the biggest market and totally private Conference Call and with the ubs analyst Steve Milunovich about a potential slowdown in chin
When this market stampedes those who make negative bets it can be spectacularly positive for individual stocks and the averages as a whole, like we saw today. Dow gained 69 points. S p climbed 2. 9 and nasdaq advancing 2 to a rec high we dont spend that much time talking about short sellers on the show. If you want to understand why the nasdaq hit those unwanted levels, its the shorts that made it happen. Theyve been a huge accelerant to the nasdaq rally. Theyre great at getting out Fraudulent Companies and overvalued stocks and sometimes going against the grain of the entire stock market when they think the consensus is wrong. Every now and then theyll attack stocks en masse, aang tackle so to speak. If the stocks fail to go down or manage to rally, the shorts can create a stampede when they throw in the towel and begin to unwind their positions by buying back the stocks they sold to close out the trade. That panic buying explains far more of this move than you might expect, particula
Tweet me jimcramer. I dont know about you, but it feels better, doesnt it . Is it actually better . Pretty good consolidation following yesterdays big run. Dow inched up, nasdaq climbed. Thats why we have our checklist, the one i created back in midjanuary when it was ugly to help determine if this market has what it needs to give us a sustainable rally. Not a tradable one but a sustainable one. We said the fed has to give us clarity about where it stands on rate hike and the last week weve had two, the new york fed downgraded their views of the economy will be cautious about the rushing to rate hike judgment. As long as we dont get a smoking hot employment number on friday. This is good enough for government work. You know what im doing . Im checking it off. Two, we need some resolution to the political uncertainty. List, we had no certainty in either party. After last night, barring some extreme, its hillary versus the donald. Now we can create portfolios for either eventuality. Mayb
We expect aggressive stimulus. Meanwhile, the decline in the shanghai stock market hasnt hurt our markets. Thats a big change. Ill call it a half check. Thats why we have half checks. Maybe it can be a full check on monday if the parliament does the right thing. Fourth, do we have a commodity bottom . Copper is breaking out. Im feeling more confident this group may be going down. Not necessarily from increased demand which is what we like but from reduced supply so what were going to do is give it a check mark. Box number five, oil needs to stop going down. The relentless slide must end. Hmm. We had a big inventory increase today and it didnt get hammered, it went higher. New pattern. It looks like oil stocks have stabilized. Im feeling good crude may have bottom. I dont expect a big rally the market but the down side seems to be quantified so i am saying check. Six, we need to see some improvement in the geopolitical scene. Here we have a definitive check. North korea started this, no