Title: Jim Cramer says Wall Street’s market worries can’t keep the bulls at bay
On Monday, CNBC’s Jim Cramer discussed the prevailing market worries on Wall Street, but explained why he believes they’re not enough to keep the bulls from running. “This market keeps climbing an immense wall of worry—that’s one reason the rally won’t quit, even if we get occasional sedate days like this one,” Cramer said.
Despite Monday’s close with the S&P 500 finishing near the flat line, the Nasdaq Composite declining 0.22%, and the Dow Jones Industrial Average rising 0.16%, Cramer expressed confidence in the market’s ability to keep climbing.
Cramer highlighted the Federal Reserve’s rate hikes and rising bond yields as major concerns for investors, but noted that Treasury yields have actually managed to come down. He also mentioned that the outcome of the Fed’s fight against inflation will become clearer once the consumer price index is released on Tuesday.
In addition, Cramer acknowledged that the Israel-Hamas war has caused some tension in the market, but emphasized that the focus remains on earnings and interest rates, citing that the war hasn’t had a significant impact on either.
Discussing the recent earnings season, Cramer expressed optimism, stating that many companies’ reports were much better than expected, including Apple. He also mentioned recent uncertainty in Washington, such as the Treasury’s decision to issue fewer long-term bonds next year and U.S. President Joe Biden’s upcoming meeting with China’s president, Xi Jinping.
“There are a ton of other bricks in the wall of worry. But the ones I just mentioned are the ones that were supposed to cause us to stumble and fall,” Cramer said. “Turned out, the bricks couldn’t stop the bulls. I’m sure the wall of worry will be rebuilt again. Right now, though, it’s just what the bull vet ordered.”
Cramer’s insight provides a fresh perspective on the market, suggesting that despite prevailing concerns, there is still room for the bulls to run.