Posted on 07/18/2009 5:46:47 AM PDT by SeekAndFind
It’s 1991 all over again, Cramer said during Thursday’s Mad Money. Investors who follow the game plan that worked then stand to gain the most.
Eighteen years ago, Wells Fargo [WFC 25.00 -0.05 (-0.2%) ] announced that fears of a continuing decline in real estate, especially commercial, were unfounded. The bank boldly stated that the worst had passed and we should expect the market to turn up. Of course, no one believed Wells, and the shorts continued to pile in. But they were proved wrong. Investors who bought WFC, Warren Buffett among them, made big money.
How is this playing out today? JPMorgan Chase [JPM 36.89 0.76 (+2.1%) ] made similar statements when it reported second-quarter numbers on Thursday. Despite all the negative press about a coming onslaught in foreclosures and a crash in commercial real estate, CEO Jamie Dimon described an environment that seemed to contradict all that. He said that loan loss reserves and delinquencies showed signs of stabilization and losses related to the Washington Mutual acquisition wouldn’t be any worse than expected. That, Cramer said, is bullish news.
But yet again no one believes JPMorgan’s announcement. They’re convinced that the worst is still in front of us, not behind us. Cramer brought this to viewers’ attention because he didn’t want them making the same mistake he did in 1991, which was to side with the naysayers. While he doesn’t think all banks are on the rebound, it’s pretty obvious from JPM’s quarter that some things are improving – yes, even real estate – and they need to be recognized.
(Excerpt) Read more at cnbc.com ...
ping
When this loon dies the worst will be over!
So says the perfect contrarian indicator
Cramer is such a fade!
We are scroomed now for sure.
I see the apologizer-in-chief is still flapping his gums in sync with his pinheaded thoughts...
oh noze- Cramer is bullish? Time to sell.
Every day, in every way, I’m getting better and better.
Every day, in every way, I’m getting better and better.
Every day, in every way, I’m getting better and better.
Every day, in every way, I’m getting better and better...
“Cramer is bullish? Time to sell.”
That was my first thought.
Businesses (those who don't sell their souls to the devil) will not invest, build, or hire in Obama’s economy.
I’d love to see his short positions right now.
The Worst Is Yet to Come :
If You’re Not Petrified, You’re Not Paying Attention
That's not very comforting.
Now I am really sure it isn’t over.
Goldman Sachs and J. P. Morgan are where they are because of the unethical ties between them and Paulson and his cronies.
Businesses who have to make their own way, that is those who do not work under the table with the government, are going to suffer several more years of hard times.
Goldman Sachs and J. P. Morgan are not typical companies.
My opinion.
Don’t believe a thing Cramer says.
How does this jibe with record forclosures?
Hey Jim,the worst will be over when you stop running that mouth.
I suggest you go all in.
The coming inflation is going to start a whole new round of foreclosures and bank failures. Most mortgage loans today are ARM’s. Death when interest rates start to rise rapidly.
The job market isn't going to turn around anytime soon. Obama and crew are beating business over the head on all fronts. Since that is where all jobs come from - that is jobs that produce wealth. Obama thinks mandating green energy jobs will improve things. He's dead wrong. All it means is higher cost for less energy. So instead of money going towards improved productivity it is going to go into an energy black hole.
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