Cramer's 'Mad Money' Recap: One Bad Day Means Nothing
NEW YORK (TheStreet) -- One down day does not make a market, Jim Cramer told "Mad Money" viewers Wednesday. Cramer said there are important issues to worry about, but that doesn't negate the many positives the market has going for it.
What are the negatives that has the market worried? Cramer said the release of the Federal Reserve minutes showed the Fed sees some positives in the economy, which is actually good news. However, investors then worried interest rates may eventually be on the rise.
Then there are the worries over the coming government sequester -- the mandatory cuts across the board. Cramer said this, like the fiscal cliff, may actually be another situation where the bark is worse than the bite.
Then there were the disappointing earnings from homebuilder Toll Brothers (TOL) . Cramer said the markets were disappointed but during the conference call he noted that Toll is actually more bullish than it has been in years. So should investors worry about Owens Corning (OC) below $40 a share? Cramer said he wouldn't, as the housing recovery is still alive and well.
Cramer said he is concerned over the price of copper as that could indicate China is still stuck in the mud, and any time Washington is on the front page it's never good news for stocks. But that doesn't mean the markets can't have a bad day here or there, he concluded. Even sports legends all had their down days.
In the "Executive Decision" segment, Cramer spoke with Gary Evans, chairman and CEO of Magnum Hunter (MHR) , a speculative oil and gas driller whose shares fell 40% over the past year.
Evans explained that Magnum Hunter is a company where the sum of its parts is worth far more than the whole. That's why the company plans to sell its mature Eagle Ford assets, about 26,000 acres, and use that capital to further develop its other assets. "The markets wants to see growth," Evans said, and that's what Magnum Hunter plans to deliver in 2013.