Fed Finds a Friend, Cramer Loses a Few

Yippe Kay Ay.

The bleeding has stopped for the moment. Will the market sell off in the wake of the Fed's 2:15 PM EST announcement? Tough to say, just do the opposite of what Cramer is recommending. Tough week for Jim, I have never seen him get beat up so badly.

Speaking of beat up, the optionsmonsters who piled into Lehman puts are walking funny. The conference call was a love in, rumors of Dick Fuld's demise were greatly exaggerated.

Even the Fed is on a roll. How long has it been since you saw someone praising them? NY Fed or FOMC, its all good:

The NY Fed is responsible for market integrity, not monetary policy, and they did their job. And you can count on other actions. They are going to change the rules on how assets can be kept on the books of banks. Mortgage bail-outs? Possibly. The list will grow.

The Fed risking a few billion here and there to keep the boat afloat is the best trade possible today. Their action saved trillions in losses for investors all over the world. It is a relatively small price. If you want to be outraged, think about the multiple billions in subsidies for ethanol and the hundreds of billions of so-called earmarks over the past few years to build bridges to nowhere. And think of the billions in lost tax revenue that would result from the ensuing crisis. I repeat, this was a good trade from almost any perspective, unless you are from the hair-shirt, cut your nose off to spite your face camp of economics. John Mauldin

Yes, John Mauldin, we could not agree more. And Cramer? We just feel sorry for him.  He has yet to extend his contract with TheStreet.com, and the stock has been floundering. And if he gets any more grief he might just tell everyone to go to hell and spend the summer at the beach. Tennis at the Quogue Field Club beats getting roughed up by bloggers, right Jimbo?

Jim Cramer Defends His Position, Is Still Hated
Gawker

Comments:

<< Back to main