As the index surges to new heights, CNBC’s Jim Kramer explained why he is still bullish and told investors that the market is roaring.
“The cynicians can’t believe what’s going on in this market. They’re used to finding reasons to be bearish because they’re overflowing with positive events,” he said. “Can these negativists continue to be confused? Do they need to commit, convert and get bullish? I don’t know if they can do that, but they… want to stop losing the money they have under their control.”
Stocks rose during Thursday’s session as investors responded to soft economic data that could allow the Federal Reserve to cut interest rates. The consumer price index has risen, but the Labor Bureau has reported a surprising increase in weekly unemployed claims this week, amending non-farm salaries to suggest that the labour market has produced far fewer jobs than previously thought.
All three major indices have been closed at record levels, reaching new daytime highs, Dow Jones Industrial Average Finishing 1.36% S&P 500 Proceed to 0.85% Nasdaq Composite Add 0.72%.
Cramer details why some investors think they are wary of the market, suggesting that many prominent money managers have been rather bearish since the Great Recession. He also mentioned the US “fruped hit” as national debt balloons, geopolitical tensions worsened, the judicial system was raised in question and President Donald Trump’s social media support the stock price.
But despite these factors, individual stocks could be successful, Cramer said, suggesting there are a number of companies that are “cheap for now and will likely get cheaper as they rise.” He also has a booming IPO market and OracleThe huge rally of the company – even if it was pulled back on Thursday, stocks added $244 billion on Wednesday.
“If bearish money doesn’t immediately trigger and become a buyer, their investors will go somewhere else,” he said. “And the bull market is no longer a manager’s problem.”
