Jim Cramer's Best Blogs
NEW YORK (TheStreet) -- Jim Cramer fills his blog on RealMoney every day with his up-to-the-minute reactions to what's happening in the market and his legendary ahead-of-the-crowd ideas. This week he blogged on:
- the market's selling disease; and
- why few tech stocks followed Cisco higher in the wake of that company's earnings.
Click here for information on RealMoney, where you can see all the blogs, including Jim Cramer's -- and reader comments -- in real time.
Figuring and Fretting Over Obama's Next Move
Posted at 6:58 p.m. EDT on Thursday, Nov. 15
It's like a disease. It starts with regular common stocks. Then it extends to master limited partnerships, and now the junk bond funds have caught it. The sell disease. It feels right now that it can't be cured and we just want to stay inside and avoid it. But the only way to get inside is to sell first!
We all see the degradation in the common. That's plain enough to see with six out of seven down days. But have you seen these master limited partnerships? We own Energy Transfer Partners LP (ETP) for the charitable trust, and it caught three different huge upgrades this week, and the stock is down for heaven's sake.
What's causing it?
First, these companies need capital, and it is almost as if the junk bond spigot that they tap into has gone dry. When you look at the declines in the publicly traded junk bonds you can only wonder whether there is any capital at all for high-yield right now.
Second, nobody wants a secondary right now, but many of these companies pay their bills with equity. So the deals get sprung and even though they might be in the hole, like the deal MarkWest Energy (MWE) did the other day, they can't seem to get their sea legs. The 8.5 million shares sold at $46.50 seem like they are all for sale!