In its selling frenzy, Wall Street is glossing over some great earnings reports from major technology companies, CNBC’s Jim Cramer said after stocks continued their October swings in a wild trading session on Wednesday.
“Some very good tech earnings are happening; nobody cares, but believe me, even in 2009, they started caring once the selling let up,” the “Mad Money” host told a caller.
Cramer added that investors shouldn’t “cut and run” at these levels, even as they should continue to follow his “buy and homework” mantra, which calls for carefully studying their existing holdings.
“We have to stay close to all the companies we own,” he said.
And while some may be worried that the market’s swoons are being exacerbated by trading algorithms, Cramer maintained that stocks of high-quality companies can withstand them.
“There is way too much program trading, as there was in 1987,” he said. “There are algorithms that are doing crazy things. But you know what? Good stocks can beat that. We just have to find them and we have to hold them. And we can hold the S&P 500 if we can’t find them like that, and look at how well we’ve done regardless of what goes on with these programs. It won’t be any different this time.”
Be the first to comment