my mission is simple, to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. you want to make friends i'm trying to save you money. my job is not to entertain you but educate you so call me, 1-800-743-cnbc. so often things around here are day to day. yesterday, yesterday we got strong numbers. ♪

you had to sell all the food and beverage stocks. today we got weak numbers. the u.s. economy growing at a pathetic 1.8% in the first quarter. far worse than we thought. so we bought back the recession resistant drug and food names that we threw away yesterday. and there are enough of them to help out and drive the averages higher, with the dow gaining 150 points. s&p .96% and nasdaq advancing .85%. got me thinking, what doesn't blow with the wind, what isn't hostage to the higher interest rates we got yesterday or the lower rates we saw today because of the softer information. yes, it was that big of a transformation. what transcends the day to day and just keeps going higher? hey, it had been housing for a

while but we know that group has faltered, although we like it long-term because of the developing housing shortage. we love oil and gas like the american glut for all of our finds, it becomes hit or miss. we are definitely into the gatsby-ization of the u.s. economy meaning the rich have become richer, even as they're more heavily taxed but those stocks, too, have been buffeted by on-again, off-again with the fed seems to not be accommodative. into a roadway inn of higher interest rates. hey, tech. love, love, love tech. unless you're talking apple, which has become a second quarter wasteland. thank heavens for microsoft micron, also google which i think cannot be stopped except for by big government, some government. that's how powerful the story is going into the third quarter. you know why i adore the banks? i love their charts, too, but you know the media hates them, hates them so much you can almost count on a negative story to hit the group if they bounce back quickly and decisively. we had two or three

today that were breathtaking. anthropological, what industry has no natural enemies, decline in copper, recessions in europe, rise in turkey, protest in brazil, unsettled middle east. what group transcends these issues? what has visibility beyond the horizon instead of 10 feet in front of us? what business can give you more than a 20 minute forecast? aerospace? our guest, chairman, president and ceo of boeing doesn't just have a 20-minute forecast for his industry, he has a 20-year forecast replete with statistics that show aerospace is $4.5 trillion market for 34,000 planes over the next two decades, give or take a few planes.

insane, wild eyed, preposterous? accurate. a real "mad money" treat, the cornucopia of success, american manufacturing prowess, innovation and proud leadership dovetails as solidly as a wing a fuselage. of course boeing isn't an entire sector. boeing and airbus can drive a sector and it's a sector that's in true secular growth mode. secular meaning not that it's anti-religious but it will grow no matter what happens to the u.s. economy or the world economy. why not set the scene for boeing by talking about how the aerospace sector has become the one and only industry that can withstand this up and downturn, a downturn that may not be over depending on how bonds in china uptrade and can be beginning if interest rates settle down and china keeps funding its banks. those are the two big swing issues. first, aerospace is about progress. yeah, we don't talk about progress enough in this business.

can't image it on a spreadsheet very well. if you're looking for a historical theme unstoppable, it doesn't get any better than progress. after all, how is it possible for the world's largest air manufacturer to give a forecast and not blow smoke? we know as the world gets wealthier, making you feel poorer, more people travel. how many airports are they putting up in china alone? we'll find out later in the show. it's a secular growth theme, whether we examine through prism of price line or starwood or us airways or any carriers around the globe, almost daily. they can do this demand is high for jet travel and seems to know no bounds, even in a globally downturn, passenger travel has been growing at a 5% clip. who knows how fabulous it can perform if things ever get better around the world? second, aerospace, because of what we now accept to be the permanently elevated price of jet fuel, the airlines can't afford to not, sorry about the double negative, upgrade their planes.

fuel used to be the big cost. get in line for new planes, which is exactly what the carriers around the globe are doing, particularly since the new boeing 787 dreamliner uses 20% less fuel than today's similarly sized planes. by the way, you can't cut the line, it doesn't work like that. third, have you to keep up with the joneses, in this case boeing, new creature comforts, fabulous windows, spacious aisles, better lighting, better smell thanks to new filters. go against one of these planes you're going to have to charge less for your flying box car. finally, nothing lasts forever. while airplanes have no planned obsolescence, if you're in business you have to re-up for planes you'll only get years from now because backlog for any aircraft of any size stretches for years and years, hence, boeing can have a 20-year forecast that's anything but fanciful. here is the best thing about

aerospace, that it's a theme. what stock withstands dreamliner's endless design delays and go up 30 points in the interim. there is more to it than boeing. consider united technologies and honeywell. don't forget united technique diversified industrial with lines from heating ventilation air conditioning, elevators doubled down on airspace with acquisition of goodrich. key fastener forging casting for aircraft makers rallied $7.30, $119, pennies from all-time high. how many stocks can still make that claim after the selloff. if you want value, you know what? you can still buy aerospace, triumph, spirit aero systems, best of breeders, you really don't need to overthink this.

now on days like today when the averages are up, i know, you think, cramer, the themes, the themes, the themes. what kind of theme. you don't need a theme at all. you can buy anything that moves. but here is the bottom line. ever since the fed decided to play hamlet, to be a taper or not to be a taper, the buy anything that moves train has long since left the station. and that's why when you have a theme like aerospace you have to embrace it during the momentary declines this market gives you. you can bet given the visibility that those declines are sure not going to be caused by the industry itself or most definitely by the players who dominated. i want to start strong with sonny in illinois. sonny. >> jim cramer, a big chicago blackhawks boo-yah to you. >> hats off to you. that was an exciting series and a terrific team. congratulations. >> caller: you should fly in and join us on the parade, celebration we're having on friday. >> i'm waiting -- i have to be

at the phillies world series parade and also have to be at the super bowl for the eagles. but go ahead. i'm a little jammed up schedule wise. >> caller: this is a crazy market and my head is spinning like a record player, an up day, down day, up day, what's going on? >> we're totally hostage to the guessing game of what the fed is doing, speculation, not investing. we just care about what a government official is saying not what the companies are saying. these things will pass. once again we'll be picking stocks. that's where we are right now. lets go to cecile in florida. cecile. >> caller: hi, jim. good evening, boo-yah. >> i like that spirit. what's going on. >> caller: first i just have to take one second to thank you for coming to my house at 6:00 and 11:00 at night. >> and you serve me nothing. >> caller: and your books are fabulous. >> thank you. thank you very much. >> caller: cnbc was so right to put you on intermittently on

"squawk box" and all the others. >> thank you. i am proud to work for this network and i'm also proud to have a job here because i think it's terrific. go ahead. >> caller: okay. my question is about gold in general. i have bad gold. i bought it april 2011. i'm down 71.65%. even with the 4.83 dividend yield. then, against your advice, i doubled up and got eldorado gold because it was so hot. eldorado, i'm down 31.95%. i've had it since march 2009. what can i do? >> ceceile, you invited me in at 6:00 and 11:00 but you didn't sit around the dinner table and listen to me on these gold stocks. you're going to have to sell on any lift. worst combination imaginable.

product is declining, getting out of the ground increasing in value. unholy alliance, big losses and dividend cuts for the group. you know what, it just doesn't happen, but thank you for the kind comments. time to fly away. it's just plain simple, aerospace is ready for a takeoff. it's a proud american industry that innovates and does fabulous things and we'll find out more about it when "mad money" comes back. >> coming up, ready for takeoff? neither the sequester nor the grounding of the dreamliner could stop boeing stock from soaring 30% this year. could it go higher? don't miss cramer's exclusive with the ceo of this iconic company just ahead as "mad money's" invest in america series continues. [ female announcer ] what if the next big thing, isn't a thing at all?

it's lots of things. all waking up. connecting to the global phenomenon we call the internet of everything. ♪ it's going to be amazing. and exciting. and maybe, most remarkably, not that far away. we're going to wake the world up. and watch, with eyes wide, as it gets to work. cisco. tomorrow starts here.

it's invest in america week on "mad money." we're focusing on great iconic american companies with stocks that you can own in this environment, in any environment. companies like boeing. here is a quintessentially american business, largest manufacturer of commercial jetliners, military aircraft out there. at the beginning of the year everybody was worried congress would screw it up, sequester,

defense spending would get cut, crushing boeing at big defense exposure. we did get hit with the sequester. not only that, boeing, 787 dreamliner was grounded for battery issues until the company came up with a solution. all around you'd think 2013 was horrible, right, not a great year at all for boeing. you'd be wrong. stocks has roared 33% year-to-date, second best performer in the dow. hewlett-packard was down 20% in 2012. i think boeing's testament to the power of current aerospace cycle and more importantly american ingenuity. at $100 i wouldn't be surprised if the stock has more room to run. when a cycle like the 787 kicks in, profits extend as far as the eye can see and a heck of a lot further as our next guest will tell you. lets check in with jim mcnerney. the president and ceo of boeing, find out where his company is headed. welcome to "mad money." >> thank you, jim. >> stirring opening for a stirring company. >> not bad. >> right to the point here, how big really is boeing?

we had gdp figures today. are you the single biggest component? huge export economy. are you the biggest single exporter we have? >> by the numbers we are. i think rather than just talk about boeing, the aerospace industry has the best relationship between exports and imports of any industry in the united states. so arguably our most competitive industry and we're proud to lead it. >> does it matter you are a uniquely american company? we have boeing exceptionalism and american exceptionalism. in the end you're selling to countries that may not be welcoming to the united states at this point. >> obviously on the defense side of our business we have to be sensitive to that, and we are. we work with our government. on the commercial side, everybody is trying to build their infrastructure. that's part of the growth. it does stretch as far as the eye can see. that's less of a factor. so when you think about commercial side, you think infrastructure buildout, developing world. on the defense side a little more sensitive about some of the things you mentioned.

>> i happened to see your incredible video at the national world war ii museum in new orleans. i was incredibly conscious of the great history of your company, the b-17, b-52. these were also weapons of war. are there countries that do not want to buy boeing commercial because of boeing defense, or is it considered to be a sign of tremendous strength given the reliability and greatness of our military? >> i think it tends to go the other way. i think most people, quite frankly, would like to have our technology, whether it's on the defense side or the commercial side. it's more sensitivity to our country's relationships around the world that drive some of the defense choices that are made. commercially we can sell most anywhere. there's a couple of no fly countries and you can probably name them. by and large we can sell any place with our commercial side. >> you're very unusual as a business person. you have a 20-year vision for

boeing. what has to go right? what could go wrong with that? no one has that visibility. >> i think you're right. we do think in 20-year increments. for two reasons. one, the market, you can see it when you consider the markets you're dealing with, but also technology cycles go that far. we've just gone through a rough technology cycle, innovating with the 787 but now we're in a position we can harvest the technologies associated with it and spread it across our fleet in a lesser risk way. hence, the word "harvest" over the next 20 years. that's when you begin to get comfortable with the kind of replacement economics we can offer our customers across our entire product line. >> i know in your excellent presentation at your meeting, your analyst meeting, you talked about how 20% savings going to 40%, 50% in terms of the amount of money airlines spend on fuel. >> yeah. >> but you did say there are some parameters you can get hurt. i was thinking if oil went to 140, that shuts down a lot of

the economy. how about before it went to 70 and we didn't need replacements? >> i think 70 is still okay. it's pretty simple. the payback on the premium you'd have to pay for a new piece of technology at 70 is still pretty fast. you're talking about an 87 that has 20% better economics. that pays back in a hurry. >> lets talk about the dreamliner. at your worst possible moments did you ever worry that the battery was a colossal mistake, couldn't be fixed, that you would lose orders and owe a fortune to those that stuck by you? >> never. >> never? >> never worried about it. it was a solvable problem, a difficult problem, one that we regretted having at the expense of our customers. the response with the people of our company was roll up their sleeves and go to work and solve the problem. my job was to keep the distractions away from the people doing the real work in our company and satisfying investors and satisfying customers. >> tough to keep your head out

of the media. was it any difference if we had better media coverage than we used to have for boeing's initial runs? >> are you saying is the media too intrusive or -- >> the footage was great. there may have been problems we didn't even think about. you're such a high-profile company. >> it's true. you do have to deal with the media, but you deal with it, okay? but what you can't forget is to get the job done. you can't forget supporting your people, being more worried about supporting your people and your customers than worried about the next thing you're going to say wrong with the media. if you get that upside down, things go wrong. >> are we done? you had two unscheduled landings last week. is that just now the regular run that would occur from the new iteration? >> yes. we talk about diversions and turnbacks. at this stage in the triple 7 program we had more. this is not to discount or excuse the battery issue. but other than that, i think

what's fair to say, now that the battery is resolved, the full promise of this airplane has not been impaired at all. we're good. >> and is it harder to get in the queue now? was there anybody that came to you, said i'm a big believer, others may be canceling, i want to jump the queue, get in front of the line. did they use it for advantage? >> some customers have more leverage than others, southwest airlines, obviously, they have a say. we're out to about 1,000 in our backlog on the 87. we just launched the new version in paris, 787-10. it speaks to our product and the ability to produce it. you can't get one before 2019. >> total cost all in, including the polish airline that you agreed to reimburse last week? >> yeah, we're okay there. a lot of that is in kind, helping them, regretting the impact, and we work with them. we have lots of different ways into these airlines and ways to

work with them to help mitigate it. >> you've rolled out an incredible, but also tough -- hey, listen, you're kind of a tough guy. partnering for success. in the analyst meeting you say we've got a no-fly list. they will feel the pain, those who do not play in your supply chain. how is that received? >> i think it is -- i don't mean to be quite as dramatic. i wish you'd said it for me. you're better. i think we mean it. we want partners. we're going to be the winner in this industry. >> we're meaning boeing? >> boeing is going to be the winner. my message is don't bet against us. >> zero sum? >> not zero sum, but disproportionate growth. us. 20 years. and so as you make your plans, don't bet against us. there may be a little margin for volume trade. we get a little margin, you get more volume, let's work together, that's the message.

>> okay. what happens if we have a president that says, you know what, jim, i know you're in the export community, you have 172,000 of our citizens on your payroll. you're a gigantic defense contractor, you will be on our no fly list if you don't pay the highest prevailing wage in the country. what happens if the president says that? >> we hope it doesn't come to that. obviously, as long as it's done across the industry, we'll all have to deal with it. it will make us less competitive globally. we hope we don't have to have those kinds of discussions. we have them. >> you do periodically -- >> politics do impact the defense procurement process. we work through it. at the end of the day, if we produce the best stuff at the lowest cost and have better productivity than our competitors, we're going to do fine. >> do you have leverage against the united states if they did do that? you are such a big exporter and job creator. >> i don't want to think about it that way.

>> we'll take a break and we have more questions about boeing and the world and you as president of boeing. american innovation and investing in america. stay with us.

we're back with jim mcnerney, chairman and president of boeing. jim, i have to ask you, a lot of people feel our country is undereducated.

you're at the vortex of american engineering. you need engineers. do we produce enough? would it be better if you were in another country, easier if you were building planes in another country? >> we don't produce enough. we're lucky we have a big brand, get disproportionate numbers. immigration reform critically important. we need to bring in more from outside, stimulate competition inside and get going. we need more engineers in this country. >> what can we do about it, can boeing do something about it? >> immigration reform is number one. >> how many people do you sponsor every year? >> we bring 1,000 interns, we sponsor first robotics. we sponsor more stuff. we spend $100 million a year on engineering programs with schools, development programs. >> you don't talk about it much. >> we want to hire those guys. we don't want to let everybody else know, train them and let everybody else hire them. >> a month ago you said this. you're a candid guy.

china is a mess. u.s. stumbling along. any change? >> i think the american economy is stronger than people think. >> okay. >> but the american economy is dependent on a tough situation in china and a very difficult situation in europe. there's a governor on u.s. growth. so i still see a moderate slow growth global environment. i can't get beyond that. i wish there was more. that's what it is. if you build a business plan around something else, i don't think it's smart. >> you mentioned china. china can be a best friend because they have a lot of airlines and buy a lot of aircraft. they can be one of the greatest reasons why your defense business could be strong because suddenly they're building out a military in southeast asia. make money both ways? >> yeah, yes. the china threat is something that people want to respond to in the region. most of those are u.s. allies. and on the commercial side,

china is building 93 airports right now. six of them are the size of o'hare, just to give you a feel. they are building infrastructure and the pundits will say they are getting out ahead of themselves. airports will be empty for a few years. these guys are dead serious about the infrastructure thing. we are benefiting from it on the commercial side. >> do you have to sell them or do your planes sell them? >> we're fortunate that we in some respects without sounding immodest, we represent in many ways the relationship with the united states. i mean, i think -- we're used as a political football on both sides of the equation. but they tend to balance us out against airbus. as a geopolitical buy. we tend to get somewhat more and we're happy about that. >> you were a great athlete at yale. is airbus like harvard, or is it the sworn enemy and you want to

smash them like a bug on the windshield of the 787. >> the competition isn't quite as gentlemanly as harvard and yale. it's tough competition. when we're fighting for a customer, it's tough. it's very tough, and i know the guys. they know me. it's friendly, but it's rough. >> and at the same time you have to deal with the sequestration. has there been even a penny lost in sequestration in 2013? >> are you saying year over year? there's been some year over year. you've got to remember, jim, most of the cost was taken out in the run-up to sequestration. a lot of us took out 10% of our cost because we saw it coming. >> you don't blame anybody on the battery. you just took it on yourself, even though you didn't make the battery yourself. you don't care. >> we're a company that innovates. we take some risks when we innovate. in the end it's a great company.

along the way there are risks we have to deal with when it doesn't turn out right and we work it and got it done. >> if your game is innovation you can tolerate failure and learn from it. that's true now. >> you got it. >> trying to figure out if you're trying to figure out whether afghanistan winds down, iraq winds down, can you make it up on asian military orders? >> there's no question that all the consequences -- if all the regional conflicts in the world wound down, it would be an impact on military sales to the defense department of the united states. but it would not go down -- it would go down to sequestration levels and maybe a little bit more, but it's not a 30%, 40%, it's a 10%. large part of it would be made up by middle east and asia. >> besides your job you're on the boards of ibm and procter & gamble.

ibm, difficult transition. proctor difficult. i'm told you're deeply involved in the change of procter & gamble. is that true, one? two, how do you have the time? >> of course i was involved in both transitions. i was on the board. these are confidential situations, jim, you do appreciate that. there's a lot of synergy being on boards, believe it or not, even though we're dealing -- >> in the shampoo and soap business. >> very global outfit. >> fair. >> a lot of cross-currents there. it's -- there is learning to be had by being on those boards. >> you can make up the time because it works. >> these are seven day a week jobs anyway, like your job. >> thank you. i have more downtime than you. 30,000 feet, you're boeing. if you were president, how would you help business? would you do more? would you get out? is getting out the best thing a president can do, not be involved at all? >> i think the overall message would be do less. i think on the regulatory side,

i think some of the regulation is slowing us down. i think on tax i do more. i think we need a new and simpler and lower tax regime on the corporate side. i think on fiscal policy there's got to be more to do there, too. they have got to get their handle on entitlements. >> given that, it sounds like, i'd like to know, are you long america? would you be long america given that? >> absolutely. >> why? >> i think -- the way i think about it is, there's a very robust economic sector, private economic sector. look at the stock price, look at the dow. >> right. >> look at the global competitiveness of american companies by any measure. could it be better? yes. if washington got its act together. washington doesn't have its act together. it will limit some upside but not keep us from winning. >> a lot of companies would say i'm long north america. i can make planes cheaper in

mexico. if you get off the desk, what they will say, if we can make it in mexico, we can make a fortune. every manufacturing company wants to go there. you can pollute until the cows come home, doesn't matter, whatever. you're not moving? >> the nature of our products, the design intensity, the quality of the workmanship, and the fact that the capital is such a big piece of the equation, labor somewhat less piece of the equation, although labor is significant, but the skill of the labor is important. the training program -- >> innovation. >> innovation. it's really important. it's very difficult to just throw it into a developing country and expect the same result we have here with a trained and educated workforce. >> are we better as a country than we were 10, 20, 30 years ago? >> i think we're stronger. i think the japanese threat, i think the chinese threat woke us up. i think we've all gotten more competitive.

we're a long way from three martini lunches in the late '60s, early '70s, a different competitive headset than most american companies these days. >> whatever happened to speed? there was a time if i booked a boeing, they are going to do the concorde one up. they are going to make it twice as fast. they are going to make it so we fly to europe in an hour. >> bottom line, consumers won't pay for it. >> why? >> concorde was a 25-year test. get there twice as fast. will you pay for the technology, two and a half times the ticket price. people would not do it. now, i think it will get addressed again in an ever more global, ever more competitive environment. seven hours to asia, three hours to europe may make a difference to somebody if we can get the technology less expensive. >> they care more about space, air, light, and windows. >> yeah, and three hours isn't going to make or break their business plan. >> sir, you are a proud leader of a great american company.

it is an honor to have you on "mad money." thank you for being so forthcoming about boeing. >> i appreciate the invitation. >> "mad money" will be back. >> coming up, ride the lightning. take a nonstop thrill ride as cramer goes stock after stock. all your calls taken rapid-fire on the lightning round.

it is time. it is time for the lightning round. rapid fire calls. play to this sound and then the lightning round is over. are you ready? the lightning round. pat in virginia. pat. >> caller: jim? >> pat.

>> caller: yes, hi. this is pat from virginia. i'm a first time caller but i've been watching you from the very beginning, and you are a wonderful teacher. i've learned from you. you're the reason i'm still in the game. >> that's what i want to hear. i'm doing it right. lets make money together. what have you got? >> caller: i'm wondering, please, if you would give me your long-term and short-term opinion of the next year or so for jpmorgan. >> i think jpmorgan should be a $60 stock, wouldn't be surprised ultimately goes to $70, my trust has a position in it, jamie dimon is doing a fabulous job speaking of the service energy maria has lloyd blankfein on the closing bell tomorrow. i do prefer jpmorgan because i like that steady stream of dividends coming. lets go to jan in texas. jan. >> caller: hi, cramer, it's jan from dallas. >> how are you, jan? >> caller: i'm good. what's the deal with them?

>> don't worry about it. right now there is a little bit of a margin squeeze. i've got to tell you, they can refine, they can ship overseas. they have a good edge. we have the ceo on. take advantage of it and buy. i need to go to john in new jersey. john. >> caller: jim, how are you? >> all right, home stater, what's up? >> caller: they raised a lot of cash between deals with amgen, a reverse split one for six. >> that's why i don't know it, because of the reverse split. i don't know the company. i'll have to come back. i wouldn't be normally covering it. it's a $10, it was a $1. i will come back and do work. i'm looking at my associate nicole. she's ready to do the job. lets go with paul in texas. paul. paul. >> caller: how are you doing, mr. cramer? >> i'm doing well. thank you, paul.

>> caller: big boo-yah from corpus christi, texas. >> oil and gas country. go ahead. >> caller: my question is i own clear wire, clwr. >> you're done, it's over. take it off the table. remember, this stock was under a dollar. consider yourself lucky. i would immediately go out and buy a nice cashmere sweater. lets go to bob in kentucky. bob. >> caller: jim, how is it going? >> all right. how are you? >> caller: occidental petroleum. >> my charitable trust is a buyer here. the company is going to split up. when they split up, $120 in value. it's literally worth that much. and that, ladies and gentlemen, is the conclusion of the lightning round. >> the lightning round is sponsored by td ameritrade. still ahead, you plan, you play, you try to perfect, but can your

strategy stand up to cramer's test? call, e-mail or tweet @jimcramer to find out if your portfolio has what it takes in am i diversified? but he's not. ♪ he's an architect with two kids and a mortgage. luckily, he found someone who gave him a fresh perspective on his portfolio. and with some planning and effort, hopefully bob can retire at a more appropriate age. it's not rocket science. it's just common sense. from td ameritrade.

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hey, maybe you're as smooth as well balanced as nik wallenda. maybe you can do something as insane as walk across the grand canyon without a safety net. me, i do everything to protect yourself including your portfolio, which should a have cushiony safety net in the form of diversification. step off the tightrope and listen up. tweet me @jimcramer. yes, i do it for the home gamers. someone questioning me. tell me your top five holdings, i tell you if you're diversified enough, mix it up, give yourself a wider safety net. we ought to go to hawaii. we should go to larry in hawaii. larry. >> caller: hi, mr. cramer. god bless you.

i wanted to know if diversified with groupon, laredo petroleum, cvs caremark, ford motors and blackberry. >> really interesting. wow, i mean, see, this is one where a person can be diversified but not have one of my favorite portfolios. i've got to tell you some bouncebacks. friday, sell about 15. groupon making a comeback, better management, bounced mason. an oil company, american manufacturer, auto company, terrific drug company, i think drugstore company coming out on top. technology, lets call it faux internet. so it is, indeed, a mahalo. thank you. we're going to stay with hawaii. i feel like this is that george clooney movie. lets go to terrence in hawaii. >> caller: hi, cramer. >> hi, terrence. >> caller: hi. my stocks are general electric, duke energy, trinity industry, detroit edison.

am i diversified? >> that's four. there's four there. >> microsoft. >> mr. softy. let's go to work. microsoft is technology. starbucks? no, that's duke. that's detroit edison? dte. trinity is railcar, general electric is diversified industrial. duke and dte, we can't keep both of those. we have to trade out dte and put in a health care company, let's make it on this pullback bristol-myers. lets go to jeffrey in florida. jeffrey. >> hi, jim, boo-yah. >> boo-yah. >> caller: i'd like to know if i'm diversified. my stocks are walt disney, dis, coca-cola, ko, enterprise products, dpd, american express,

axp, wells fargo, swfc. >> we have a good one going here. i'll tell you why. american express is a terrific financial. okay. disney, great entertainment company, how great a job is iger doing, espn doing fabulously. coca-cola, great industrial beverage company, enterprise, good oil company, wells and american express. we're keeping wells, trade out american express. the aforementioned bristol-myers will be the addition.

why can't somebody in government just give a guy a warning? why can't we see genuine leadership from someone using the bully pulpit, not insisting a legislation or quorum or pace that doesn't do anybody any good. right now we're gripped by a total lack of what i could call authority. meaning people in power using power to get things down through suasion. not meetings and votes and straitjacket of regulations. the federal reserve. it was kind enough to give us a heads up how it was going to let the yield curve revert to a more natural position. how great would it have been if ben bernanke in one of his myriad speeches said merely, you know what, those reaching for a yield are going to get stung when we switch. those delicious words would be a

shot across the bow, there will be a world of hurt if they continue to do stupid things to get a little more juice to their returns. his go to journalist or our own steve liesman that those who are using emerging market money funds as a way to stretch their returns will probably lose more money than they realize when the fed changes his stance. that's all he had to do. intimate door will be too small in places like thailand, philippines, indonesia, anywhere else that runs accounts deficit when we go less accommodative. you put money managers on notice and clients can keep the pressure on them to do the conservative not risky thing. remind them they shouldn't take on that risk. the fed chief also should warn using etfs to get yield, they will be roughed up. the bond funds might not be as safe as people think because they can be hammered as rates soar. why not do this, explain the hazards of what people are doing in the hundreds of billions of dollars of retirement money.

before you say bernanke did that, i don't know a soul who feels he warned anyone. i know there are plenty of reckless managers who might have reined in recklessness and fecklessness, making it more palatable for rule powers. what about s.e.c., why can't the commissioner say why they can't greet on money funds, it's her intention when push comes to shove to make it so nobody that reaches for a yield is protected. all she has to do is say that. the lobbying efforts have made it hard for the industry to be regulated, but she will not make life easy for those who do. how about gary gensler, smart guy, gives a speech saying those buying new-fangled debt obligations and doing swaps against it, if they creep back, people who use it are downright idiots. straight up call them idiots. do it. there's nothing wrong with that.

there's tons of idiots out there. talk about how the industry wants to have opaque swaps because they can gaffe clients more easily with fees. stabbing people know this. the dumber clients of which there are many more, don't. regulators do speeches warning both managers and clients about stupid things they might do to hurt the system. that way they can tamper down their own bubbles and industries, they can warn dumber clients they are going to be crushed so they better be vigilant. you can't legislate moronic behavior. you can call morons out, make people realize they are doing something to put at risk with the recklessness. tends to be captured by the industry itself. one thing about the service industry, it will not do what's responsible but most profit able. therein lies the problem, spell things out elected and unelected officials, behind the scenes with background interviews and parties that jeopardize the system could be held at bay and all of us better protected than we are now from the shenanigans and foolishness that breed bubbles causing pain

and loss for all the good guys who try to be prudent but upended by the greedy and reckless. stay with cramer. hey. they're coming. yeah. british. later. sorry. ok...four words... scarecrow in the wind... a baboon... monkey? hot stew saturday!? ronny: hey jimmy, how happy are folks who save hundreds of dollars switching to geico? jimmy: happier than paul revere with a cell phone. ronny: why not? anncr: get happy. get geico. fifteen minutes could save you fifteen percent or more.

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all right. we know about boeing. it is a great american company, a proud company. by the way, it's also an unbelievably good stock and tremendous innovator. it's probably the best american innovator we have. i'm jim cramer and i will see you tomorrow. >> it is both legal and lethal. seven pounds of metal and plastic... that fire a bullet at roughly 3,000 feet per second. it's called the ar-15. [ shell casing clinks ] to some, it is a brilliant piece of engineering, a modern sporting rifle, and a symbol of one of america's most basic freedoms. >> thank god for america! >> all: pass the law! >> to others, the ar-15 is an obscenity, an assault weapon with no justifiable place in civilian hands.