Jim Cramer, who gave out such sage advice as "don't sell Bear Stearns stock" right before it sunk deeper than Amelia Everhart's plane in the Marianas Trench, is now proclaiming the recession/depression over!
We should feel honored that someone as financially astute as "Bozo" Cramer is giving out such sage advice, like his timely tip to NOT sell Bear Stearns stock when it was at $62 dollars a share.... It tanked within days and dropped to $2 a share...
"Bozo the Clown" isn't trying to game the stock market again, is he?
In March 2007, a December 2006 interview from TheStreet.com's "Wall Street Confidential" webcast stirred controversy after it appeared on YouTube.com. In the video, Cramer described activities used by hedge fund managers to manipulate stock prices - some of debatable legality and others illegal. He described how he could push stocks higher or lower with as little as $5 million in capital when he was running his hedge fund. Cramer said, "A lot of times when I was short, I would create a level of activity beforehand that would drive the futures." He also encouraged hedge funds to engage in this type of activity because it is "a very quick way to make money".
Cramer said that one strategy to keep a stock price down is to spread false rumors to reporters he described as "the Pisanis of the world". The comment was a reference to CNBC correspondent Bob Pisani, who reports from the trading floor of the New York Stock Exchange. "You have to use these guys," said Cramer. He also discussed giving information to "the bozo reporter from The Wall Street Journal" to get an article published. Cramer said this practice, although condemned illegal, is easy to do "because the SEC doesn't understand it."
Cramer's Mad Money stock picks were found by Barron's magazine in August 2007 to have underperformed the S&P 500 stock index over the previous two years. In a cover story, Barron's found that "his picks haven't beaten the market. Over the past two years, viewers holding Cramer's stocks would be up 12% while the Dow rose 22% and the S&P 500 16%."
On 29 February 2000, about one week before the historic all-time high of the NASDAQ Composite index, Cramer delivered his "The Winners of the New World" speech at the 6th Annual Internet and Electronic Commerce Conference and Exposition in New York. In this speech, Cramer recommended 10 stocks and went on to say "I wouldn't own any other stocks in the year 2000". By 2009, all of the mentioned companies have either gone out of business, have been taken over by competitors or trade at fractions of their 2000 stock price.
On September 15, 2008, Cramer invited the CEO of Wachovia on his show, Mad Money, in order to recommend the stock to potential investors. Cramer agreed with CEO Robert Steel that the company was fundamentally sound and that the ratio of good loans to bad loans was low. Cramer would recommend the stock to his viewers before Citi announced their intentions to acquire Wachovia's banking operations. On Monday, September 29, Wachovia's share prices dropped over 95% in the pre-market and over 80% in market hours following news of a possible Citi acquisition.
Who listens to "Bozo?" Insiders gaming the market to make a mint off you fools investing in that out of control casino.