paypal's going higher. >> i'm taking profits in walmart ahead of earnings. a little pop in retail and it's a sold for walmart. >> beakers >> check the oil sector, cop. >> smh and the tip of the spear. >> i'm melissa lee thksoran f watching and see bace "fast. meantime, "mad money" with jim cramer starts now. my mission is simple, to make you money i'm here to level the playing field for all investors. there is always a bull market somewhere, and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends. we're just trying to make you some money my job not just to entertain, but to educate and teach you so call me at 1-800-743-cnbc or tweet me @jimcramer. everybody is fretting that companies with big business overseas will soon see their

earnings collapse. but after a good day where the dow advanced 112 points, i don't know if we worry about the right thing. i got something else that's starting to get me a little nervous, and i'm not that easily zushtd i'm looking at spending patterns at home. boy, oh, boy are, they becoming obvious if you know where to look despite an incredibly strong job market, we're seeing a decisive shift in how the consumer spends her money. houses are out >> sell, sell, sell, sell, sell, sell >> clothes and accessories are in. >> buy, buy, buy >> today we got the perfect contrast this one day was really incredible how crystal clear it was. we've got home depot versus tapestry you may not recognize tapestry it's just the old coach, but now it's a tapestry of brands that includes kate spade. we are speaking tonight to the ceo, victor luis later and i got to tell you something later we can't wait. this morning tapestry reported a

pretty good quarter with fabulous guidance. that's why its stock was the king of the market it was up 12%. home depot, on the other hand, reported a great quarter, a huge top and bottom line, but their cautious guidance left some people puzzled and others downright concerned. despot is about as good as it gets in retail if they're being cautious, what does that mean for everyone else after rallying almost four points before market trading, that was before the opening bell, the stock only had a stung reversal during the conference call and finished actually down a dollar an otherwise incredibly strong day for retail what's the real takeaway here? i mean, those who watch it today, let me give you a little sense what i think i think people are spending more on clothes than they are on homes. and home depot, even though it's a gigantic retailer, is considered more of a play on traditional house, not traditional retail and that's problematic because while housing is just 10% of our economy, it punches well above

its weight class in terms of all the different things that go into a house look, its not just these two companies. on the one hand you have handbags and accessories doing extremely well tapestry just confirmed it we already got it last week from michael kors macys a 52-week high see that ralph lauren, they've all been reporting incredibly good numbers. it's a trend put it all together and it's true the consumer is spending a lot of money on apparel. that's why burlington store, kohl's are among the hottest stocks it's why urban outfitters stock could go up $1.34 despite a downgrade. and all of this is without even mentioning the king, amazon. but the strength isn't universal because of housing's newfound weakness when you layer on home depots's cautious guide, you start wondering whether maybe the housing industry has hit a wall. despite plentiful job growth, and it is plentiful. by the way, some amazing small

business optimism figures we got today, 107.9 that is just a tenth of a percent below the record in 1983 reading well, you've got to do a little bit of -- i have a little consternation. let's put it that way. have houses gotten too 5 have wages not improved enough are mortgage rate taos high? many times on the conference calls the analysts seem too skeptical and the company's subsequent direction for the future they congratulated management repeatedly and effusively for making up for what was a weak spring but then they peppered the management with endless questions. one of my favorite ceos talked about housing affordably in a way, incredibly bullish. it reassured me. i liked it but judging by the reaction to the stock, a big uptick and others felt differently. here what's she said quote, right now the affordability index for company is 144 if you look at historical averages it's 127. in the past we said well, if it

gets to 127, that could be a watch out for, end quote then explains that you should not be too concerned with the figure as you might normally be. why? because we have a housing shortage in this country we've got 4.1 month supply normally it would be more like six months and of course, house prices have appreciated. homeowners have seen their equity increase by over 120% just since 2011. that's $73,000 per house she argues that, and i quote, as homeowners view their home as an investment and not as an expense, they spend more okay i am a huge fan of carol thome i had her on the show. i take what she says incredibly seriously. but just for a moment, let's flip her logic on its head, okay if home values have increased by that much, then holy cow, no wonder the economy is not getting much of a boost from housing whoch wants to pay up that much for a new house now? maybe they cost too much i want to throw in something we

heard from this red fin real estate broker last thursday. it's a tech play on real estate. let's call it a real estate services company it's a little hard to understand, but it had one down beat conference call how downbeat ceo glen kelman told us, quote, in the past three out of four weeks we saw significant slowdown we still have growth year-over-year, but it's much slower growth than we are accustomed to. that's not what you want to hear if you have a stock involved in real estate. and then, quote you real estate agents saying i put a home that normally would have sold in a week and it's still on the market a month later i expected to get competing offers i got one. as if that wasn't clear enough, he adds more and more there are homes that we thought would sell that don't, end quote. he called out the once red hot seattle and san francisco markets as being too expensive that dovetails pretty perfectly with the action in the home builders lennar stock down 19% for the year

tolle down 28% dr horton down 14. kbm, down 26%. and this is at a good take what's the clincher? when the red fin call, kelman told us, you'll want to hear this, the younger generation of would-be homeowners is bewildered many are living in their parents' basement. until the market becomes more balanced, they will take longer and it will be harder for these folks to find a home let's put it all together. in what i regard as a zurich narrative, the millennials may be inheriting the earth, but they're not necessarily inheriting a lot of wealth right now. more and more they fell priced out of housing it's just that they're buying apparel, electronic device, think apple. they love cool experience. there is nothing cool about the experience of owning a home. now let's go back to the biggest gainers list from today. what else can we learn what's the second after tapestry advanced auto parts, aap it's a retailer that sells car parks. the stock rallied 7.9% today

last week we ran a piece why carmax, much more explosive than new cars guess what used cars need more replacement parts like you get from advanced auto parts we know the automakers have been horrendous performers in the stock market, so we have to conclude a couple of things here the millennials are using uber and lift and sharing scooters too. maybe new cars like new homes have gotten too expensive for the current generation, and current owners are more likely to fix their vehicles instead of buying new ones. i'm not calling for a crisis i'm not a doom sayer i have so many other people doing, that i'm just saying money is still being spent, but it's being spent in a different way that we got to get away of because there are many different winners in the stock market and some big losers. it's still jarring to think that the automakers and the home builders, traditional winner, their stocks aren't working here at all bottom line, compared to the autos and the home builder, tariffs and trade in turkey, sometimes i feel like a little bieft sideshow this market can keep climbing

without those two crucial groups but i have to admit, overall, losing housing, geez, losing autos it's got to make you a little less sanguine mitch in arizona, mitch? >> caller: how are you doing, jim? >> i'm puzzling over the u.s. economy. what's going on with you >> caller: every time i get on the freeway, to my right is a glass structure with automobiles on it. i didn't know what it was, but i know what it is. now it's carvana, and the stock is up 200% year to date. what do you think? >> you know what this is a winner in this group well did profile a used car guy last week if i don't like carmax but i have to get in the bottom of how carvana could be up 186%, because it is just insane. let's do a piece and come back how about jc in new york jc >> caller: hey, jim, i'm 25 years old. first i want to thank you your helping all young investigators. >> no problem. >> caller: my question pbf

generator. in the past months they have rallied in what a number of new outlets have reported there are some new maritime regulations that go into effect in 2020 that require the content of sulfur con tirngts exactly right. >> and marine 2.5% that's a lot i think they have the technology to take advantage of the oil refinery landscape right now and going forward in 2020 when imo goes into effect what do you think? >> jc, i'm with you. i know those rules because i follow the cruise industry you're absolutely right. and by the way, i was going to say buy endeavour. but that's andv. but you got a good one i like your choice i like your homework doug in indiana, doug? >> caller: boo-yah, jim. my question is in regards to wyndham destination, wind. >> right. >> back in june they split into different company, sofitel i own stock in both. what should i do, buy or sell?

>> i think wyndham destinations is very cheap. people have turned around against hotel and time share i think that's a mistake i think the wynd is too cheap to ignore all right. money is being spent right now, but it's not traditional winner likes autos and housing that are working here, and you got to understand that these are big cap stocks that are just losers right now. the shift is to apparel, to experiences, and to tech equipment. think apple, thanks to the good old millennials. i'm always trying to figure out what they do that's why i want to declare a two-for-one politic of my age to get in their heads which company can come out on top i'm revealing. and then more than a classic carole king album, boy, i remember from freshman year in college, tapestry could be a classic stock for your portfolio. we sit down with the ceo after earnings, see how it's weaving a profit together. and the general consensus on the streak is treasuries among the worst assets to park funds in. huh-uh telling a different story. stick with cramer. >> don't miss a second of "mad

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♪ ♪ you can go your own way let me tell you a real yarn here last week rite aid slashed its guidance, and the numbers were so bad that they put the final nail in the coffin of the company's already doomed merge were albertson's then a few days later, cvs health reports a fabulously better than expected quarter now i'm a big fan of cvs health, especially with the pending acquisition of aetna, which will make this the most integrated player in the industry in fact, this stock is a horse, and i think you should get on. >> buy, buy, buy >> but how do we arrive in a place where cvs is on fire while rite aid is falling apart? liter literally, one is so much better than the other you know what?

they're very related cvs is winning because its competitor, particularly rite aid are in disarray. long story short, cvs has had two major rivals, rite aid and walgreens. in october of 2015, walgreen's boots, the number one player announced it would be acquiring rite aid by late 2016 it was crystal clear that the ftc had serious reservations about approving the transaction. can't blame them the ftc wanted walgreens and rite aid to sell at least 620 stores to prevent anti-competitive behavior. even that wasn't enough. in a three to two merger, the regulators tend to be incredibly skittish so the ftc didn't just want walgreens and rite aid to sell hundreds of stores that. >> wanted to sell to a viable buyer who can actually operate them without going under who could be a real competitor in rhett pro trow speck, it's

crazy these two companies spent so long trying to work this out. the ftc had been burned before by failed investors before when albertsons bought, they bought hagen within a year, hagen clard bankruptcy they borrowed a bunch of money and couldn't keep up albertsons repurchased about 30 of the stores that the ftc had just forced them to sale because it was anti-competitive. yep, the regulators must have felt they had been participating in a travesty of a mockery of a sham and albertsons is the most recent example of the ftc getting burned but by december of 2016, walgreens and rite aid figured out geez, we've got a way around this problem they came up with a terrific, terrific solution. they agreed to sell 865 stores to fred's pharmacy that's a regional player mostly focused on the southeast in fact, fred's even claimed they're willing to purchase up to 1200 locations if necessary but there was just one issue

fred's really wasn't big enoug to acquire 865 rite aids, let alone 1200 at the time the company had 628 stores of its own. the transaction would have doubled or even tripled the footprint. sure enough, the ftc, so afraid that something bad could happen here, they refused to bite see, remember, they had been hosed by albertsons which foisted off stores to the failed hagen. so they weren't going to make the same mistake again also, again, a three to two merger is going to be a tough stole the government yet walgreens and rite aid kept pushing. by late last june, they realized full merger off the table. rather than a complete sell of rite aid, walgreens proposed buying 322 stores from a competitor that was a deal the ftc could almost live with last september they finally gave walgreens the go ahead to snap up 1,032 rite aids in the end, the deal hasn't done walgreens that much. they wanted all of rite aid in order to totally dominate the

drug store space instead they spent two years fighting the ftc and got a couple thousand stores, not enough to change the balance of power in the industry. as for rite aid, though, there are words that can describe what they've done to themselves, but i'm not allowed to say them on basic cable. rite aid took walgreen's money, used most to clean up their balance sheet and tried to get on with their life as a much smaller chain. unfortunately they deteriorated dramatically since they first put them up for sale in 2015 you can imagine. they just don't look as good there is no long-term future over the years rite aid same store sales gotweaker and weaker and the earnings shrunk too. at best, you can say trying to sell the company to walgreens was a major distraction. this february rite aid lines up a new deal they agree to sell themselves albertsons the deal would create a new powerhouse with tons of opportunities for cost cutting rite aid's ceo would get to run the combined company

but this hit a snag too. according to some analysts, this mostly stock-based deal valid rite aid at somewhere between 75 cents and $1.75. that's not so great considering it was trading at $2.25 before the deal was announced so many of the biggest shareholders came out against the merger i think it's being shortsighted. on its own, the business is less worth than they believe. sorry. last week they removed all doubt. the shareholders wanted more money. but if anything it was worth even less to albertsons. so both sides agreed to call off the deal the response rite aid stock has been oh bl oblitera obliterated. so let's recap after years of maneuvering, walgreens gets a bunch of extra stores it doesn't really necessarily need rite aid seems to be running itself into the ground with no interested buyers in sight that's one reason i'm such a big fan of cvs it's nice when your competitors sabotage themselves. cvs is the perfect drug store

chain for this moment. they have tremendous scale they have nearly 10,000 stores about like walgreen, cvs is the most vertically player in the industry they have their own pharmacy benefit management, the old care market, like that deal which helps save money on prescription drugs. going forward they'll do better when they finish buying aetna, the huge health organization which should happen in the next couple of months aetna insure morse than 44 million people the combined company will have enormous clout cvs will provide, in and fill your prescriptions there are huge opportunity no, sir cost savers for the company and customers. i believe regulators will let it happen because it could help contain the runaway cost of health care. that's why doctors hate this deal the a.merican medical associatio is urging to block it. it's bad for physicians, good for everybody else so once this deal goes through, cvs will be perfectly poised to compete with the amazons of the

world while also crushing its smaller competitors like the hapless rite aid that the ftc should have allowed to merge with walgreens more importantly, cvs is already doing great. when the company reported last week that. >> blew away the information, terrific top and bottom line beat including monster same sore sales growth the stock popped 4% on the news and hasn't looked back since then it's been rallying day after day. it's back with the retailers it's not just amazon road kill bottom line. when the ftc blocked the walgreens/rite aid merger they laid the groundwork for less competition. they thought they were preventing the industry from becoming in effect a duopoly instead, that's what they got. and the biggest winner, it's cvs. it's the best of breed stock, a lot more room to run and the reason it's going higher is because it should be. mark in florida, mark? >> hi, jim this is mark with a c, not a k >> okay, fair enough. >> caller: you are the greatest.

my question, i own a large cap that pays a 5.4 dividend with new management now in place at the top and a new direction defined, that is through the $300 million stake in 23 & me, will the picture transform to a growth play -- >> i don't know. it won't be that much of a deal. but is the real deal i really like this call. i've been trying to figure out whether to profile the stock or now. i'm glad you brought it up marc, i think gsk works. gary in florida? >> caller: boo-yah love you man how are you doing? >> doing well. how about you? >> caller: doing great my question is molina health care it apparently got good news in medicaid contract in florida with the stock having the big move it's had in the last 12

months, do you think there is room to grow >> this is a good stock. you're right centene more united health, class of the field. don't forget cvs when it finishes the merge were aetna, it's going to be fantastic. the ftc ended up shooting itself in the foot by blocking the walgreens/rite aid merger. rite aid got kraurnd ended up with less competition, not more. stick with cvs it's the winner in this space. much more "mad money" ahead, including my interview with tapestry after earnings. the company has weaved a 12% move higher today. but can the uptrend continue i've got the ceo plus you might be on mars before the s.e.c. hammers tesla. and the "lightning round"! so stick with cramer

do not ever let anybody tell you it's impossible to reliably pick winners in the stock market last friday i told you to buy tapestry ahead of this quarter this morning for those of you who don't remember, tapestry is the apparel company formally known as coach i repeatedly point out the accessories group is red hot i predicted tapestry would have a good quarter but even i didn't expect the stock to rally to $5.70 or 12% like it did today because of unbelievable guidance. what's driving it? 3 cent beat off 50 cent basis. just an incredibly bullish year for the 2019 fiscal year this represents the latest step in what has been a tremendous bull year victory. it's spournd by victor luis who has taken over five years ago. do not take it from me let's check with the man himself, victor luis, the bankable ceo of tapestry to get a better since of where it's head mr. luis, welcome to "mad money. so great that you're on the show

thank you so much. >> thank you >> you know, i just was pulling for you because i think you've done an incredible thing revitalizing this brand. i was astounded. you're predicting a year of double-digit revenue growth. you have unbelievable growth in china. you a multi-year plan. i want you trace it out for our viewers. >> sure. we're very excited we had an incredible year. just announced a great toned that year with our fourth quarter, which was really reflected in the acquisition of kate spade following up on the acquisition of stuart weitzmann. now we're building a platform with coach, kate spade and stuart weitzmann can grow which is going to be followed by investment strategies that you discussed, specifically in china. when the coach brand entered china about ten years ago, it was $50 million business today north of 600 million had awareness today, an unaided awareness that basically is at 30% relative to kate spade's at 2. so tremendous opportunity for us across the asian markets for

growth >> but we would be slighting another initiative that you've done 800 million in men's going to a billion? how does that happen >> very excited. men have discovered bags and of that, about half is in north america, and of course in asia with the other half with the business that's also growing from a much smaller base in europe but we're very excited about our men's program. we've been putting a lot of talent behind that, a lot of investment, and over our planning horizon, we see a very clear path two a billion dollars. >> you also have done a remarkable different pivot in marketing. you are using digital to a tremendous extent. you're getting millennials that way. >> we are. our direct business today, approximately 10% of total tapestry business of around $6 billion or so this fiscal year is direct digital. if we were to include all of our partners at wholesale, it would of course be substantially more than that. but it is the most important way in which we connect with consumers and influence their purchase decisions and we've been making tremendous

investments in our marketing direct to consumer, through digital, whether that be social media, of course through our own direct with party channels. >> first i was concerned i was worried about tariffs because handbags were on the list but one, i shouldn't be fretting that much. but two, the presence is building and building in china. >> for us, china is really much less of a sourcing avenue than it is a market for us. as i mentioned, china is north of $600 million. terrific opportunity for both kate and stuart weitzmann as we look to the future from a sourcing perspective today we're very global in how we source, and china represents between 3% and 4% really of our handbags and accessories only. so really not much of a direct immediate risk for us. >> two concerns, i just want to be sure. one is stuart weitzmann did not have the numbers i was hoping for. i know it's a story brand. and two, it was mentioned on the call, very sad, i know she was not connected with the brand, but kate spade did pass away in

june and i know that brought a brand awareness. i think it's a great brand but i want to be sure that that spike wasn't ephemeral and i want to be sure that stuart weitzmann is on a growth path i shouldn't worry about. >> in terms of stuart weitzmann, what we communicated most recently is we're working very hard to deal with some of the execution issues we were facing in our supply chain as we integrated that brand following the elevation of the founder to a chairman emeritus rolition right. >>. >> and we see most of those issues behind us and just this morning announced that by the second quarter of this year we will again see growth in the stuart weitzmann brand and in the case of kate spade, as you mentioned, of course very, very sad with the passing of the founder she has not been with the brand for the last decade. but of course we were very touched with the response that we got in social media across the world to her passing and very excited in a couple of

these silhouettes that we have here today are from our new executive creative director nicola glass who replaces the person who followed kate herself. and we're very excited to launch her collections in the spring. >> we went by one of your stores my wife said to me, i don't think that's coach because of this we saw this. you have changed it up in a way that even though you never -- we still love the traditional, right? we love the retro traditional. my daughter wears the retro. but you have made the stores look very un-coach like, knost not that that's bad, but we wanted more, and you're giving it to. >> at the core they're very coach. they still have the core dna that we brought forward. and listening to your wife as the voice of the consumers, what we enjoy listening to the most but what we have here and the one you're referring to is one of our newest handbags by our executive creator director, and he has gone back to the archives a little bit and taken the traditional coach signature, modernized it, put it in a new psilowe, and we're getting an

incredible reaction. >> people love it. is there something that i'm missing? why are accessories itself as something that people buy, how did accessories get red hot? >> look, they've been red hot for quite some time. >> fair enough. >> i think if you were to compare the growth of the accessories category over the last decade to i would say premium apparel and other categories of accessories has definitely outpaced, the past year has seen really terrific growth with high single digit, low double-digit growth globally, tribunally driven by the fact that accessories remain the most important category that consumers use to express their individuality. it's branded it's one of the key ways they invest in fashion to express themselves >> one more question you had two chinese celebrities. i did not know them, my own weakness, and selena gomez here, endorsements they work. >> they are a great way to connect with consumers globally.

we know, especially as consumers leverage social media and celebrity much more in order to give the brands context, we'll leverage global celebrity such as selena gomez, and we'll also compliment that with local celebrities in key markets, whether that be in japan or china with the two you mentioned that we zounsd call this morning. >> what a remarkable turn. it could be long lasting and last many years. that's victor luis, the ceo of tapestry the symbol is tpr. this is real rememb remember this feels like infancy. more "mad money" after the break.

♪ you are my treasure, you are my treasure ♪ we wanted to address one of the major hidden assumption underpinning the market, the idea that bonds are kind of garbage, at least in this market the conventional wisdom of wall street and main street is that u.s. treasuries are one of the worst possible asset classes to own right now. look, i get it this is economics 101, when interest rates rise, prices go lower. you have to keep raising short-term rate, when long-term rates remain at historically low levels, the treasury yields have nowhere to go but up, and that means treasury prices are headed lower. but is it possible the bond

bears have gone too low? co-founder of carly trading and the author of higher probability commodity trading. we're going to reassess the state of the bond market let me make one thing very clear. bonds do matter. the bond market is larger than the stock market, much larger. when it comes to managing your money, bonds are the competition stocks and treasuries can be powerful signal of the broader direction of the economy it's never too late to learn this in f you don't know it. so what does garner think here she is betting that the bears and the treasury complex have gotten overconfident why don't we start with the ten-year treasury futures which contains one of garner's favorite tools, and that's the commodity futures trading commission's commitment of traders report, also known as the coft report. it shows the large speculators,

meaning professional money manager, small speculators meaning home gamers and commercial who need to buy, sell for business reasons what do we see here? what we see here is holy cow the large speculators have gotten what i regard as being insanely negative. look at that short position. not only are they holding net short positions in these treasury futures, but they're more bearish than they have ever been at any other time in living memory large speculators are holding a net short position of rough live 600,000 futures contracts. all told it's a massive bet against treasury the like we've never seen beforement they're all betting that rates are going to rise. and that's the problem sure, very basic understanding of economics tells us that bond prices need to go down be. let's complicate that with a basic understanding of markets first, nearly investor has the same examination when most of them have already taken action

on that belief, then it's baked. in garner is pointing out a very important idea here. if an investment is universally loathed, that often means it's done going down because everyone who was going the sell has already sold in short, she's wondering who the heck is left to sell u.s. treasuries here? second, when you have a massive net short position in anything, it sets you up for rebound at some point in the future hey, think tesla, right? because sooner or later, the short sell groergs s are going o ring the register. basically, garner thinks this trade has gotten overcrowded that's key term when you talk about short selling. overcrowded. and when the shorts are unwinding their positions, therefore it's going to create a fierce rally next, take a look at this chart, which shows the seasonal patterns that we're dealing with the seasonal patterns of the ten-year this is a very important concept of how it's done in the past historically speaking, treasuries tend to rally in the late summer and early fall

garner's experience is one of the largest seasonal patterns around and tends to be pretty unforgiving. she knows from experience because she once blew up her parents' speculative trading account trying to fight. this that would certainly be a mistake. during the second half of the year, the hen-year note futures typically move higher, with the biggest move usually coming from july through early october got it garner thinks the rally could be particularly pronounced this year given that treasury prices are pretty depressed next, let's put this in context. this is a chart showing the yield on ten-year u.s. treasuries going back to 1954. lately we've been hearing a lot of people argue that treasury yields have broken out to the upside, surging to very high levels but that paints an incomplete picture. sure there has been a breakout, but historically rates are pretty low, and that doesn't mean they're going to keep heading fire a straight line the fact is they've been going sideways for months. more importantly, you need to compare u.s. treasury yields to their main competition which is

low risk securities issued by other governments. right now the ten-year treasury sports a 2.9 yield the german 2 30i7b 3 the japanese yielding close to ucsd the italian, their government is disarray it's pretty close to the u.s that's crazy it's insane. a country with very real risk where u.s. treasuries are practically the safest investments, well, that's why we call them risk-free, right because they're so darn safe in short, our bonds give foreign investors much more bang for their buck, and that's been leading to a flight quality. and when you add all this stuff together, would it be really so crazy for the yield on the ten-year to work this back towards, say, 2% where we were just last summer finally, why don't we look at the weekly chart of the ten-year treasury futures garner points out while treasury prices have dipped multiple times this year, each of the move has ultimately been

rejected in fact, when she looks at the action in the ten-year period, sees signs of a double bottom. hey, that's classic formation where buyers step in preventing prices from sinking below a previously established floor of support. she also notes that double bottoms tend to be followed by significant rallies. at the same time garner thinks we're seeing a wedge pattern see the wedge pattern like that? she believes that will be resolved to the upside the relative strength index and the williams percentage r index, we often talk about those, two important gauges of momentum have both turned higher and they've both got room to run another positive sign. if the ten-year treasury futures can reach their next ceiling position 122, 122.15, garner believes they can start making their way toward 128, which would represent a major decline in long-term interest rates. putting it all together, sometimes markets aren't what they seem. when everyone is betting on one thing, there is a good thing

that won't actually happen that's what garner cease overcrowded that probably won't play out the way the bears are anticipating the bottom line. look, i understand why the conventional wisdom is so negative, but the charge interpreted by carley garner suggests that u.s. treasury prices could actually have some upside here, and it could be a violent move higher because of that massive short position. "mad money" is back after the break. before you can achieve a higher standard of craftsmanship,

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2018 ls 500. experience amazing at your lexus dealer. "lightning round" is sponsored by td ameritrade ♪ >> it is time! it is time for the "lightning round. cramer say buy, buy, buy, sell, sell, sell. >> buy, buy, buy >> sell, sell, sell! >> and then the "lightning round" is over are you ready, skee-daddy? start with claudia in missouri claudia? >> caller: hi, jim this is claudia from st. louis and you talk to my husband adviser jl and i while you were at a wedding in snow >> sure, i remember. >> you made my day you said this is the why i do

the show, for people like virgil and claudia. >> that's exciting how can i help >> caller: i have a lot of success with amazon, but a stock that really concerns me is scott's miracle gro. >> you're likely to be concerned. they missed quarter, missed quarter, missed quarter. i don't know if i want to sell it, maybe get a bounce, but geez, you're absolutely right. and hey, i wish julie and ryan best of all. and they're going to be at an eagles game against the skins. let's go to charles in maryland. >> hi, mr. cramer. thanks for your great show and reminding us of the basics. >> okay. >> caller: my stock was j & j. >> got them! >> buy, buy, buy buy, buy, buy! buy, buy, buy! >> doing a magnificent job bobby in missouri? krichlt jim, boo-yah

i'm up over 170% i've never heard you -- >> it's a infrastructure, it's unbelievable we've got to profile that thing. it is up huge. i'm a sales force kind of cloud kings. but that is sui generous kind of reminds me of autodesk i like it. let's go to charles in indiana charles? >> caller: hi, this is charles in indiana >> all right >> caller: and let me say to you, a ba-ba-ba-boo-yah! >> wow, that was massive boo-yah. so thrilled about it what's going on? >> caller: have i been a fan since your "mad money" insing, holy cow, when i was young. >> caller: yeah, me too. have i two questions the first is a 3-d printing company, straight tises limited. buy, sell or hold? not that good of a quarter. >> okay. we just had, and i went over the call, we had a really good call from 3d systems. the stock is up in a straight line, but is really good

and let's not forget what they've been building at hp ink, they have terrific those are my two favorites lee in texas, lee? >> caller: boo-yah, jim. >> boo-yah >> caller: i struck oil. laredo petroleum >> we're going to lay low on oil. we're going to lay low on oil right now. it's a little too risky. by the way, fang, interesting idea to buy diamondback on the weakness >> how are you >> i am well. >> good, good, what about jetblue -- >> no not a jetblue fan. i'm a southwest love and a good job at united continental. a 52-week high really bifurcated segment today. let's go to bill in new york bill >> caller: hi, jim i'm calling about tesoro. >> that's a high risk stock. it's down a great deal as long as you understand that

it's totally speculative i do not have any reason why it can go up, but it is speculative, and i know people want to do that. doug in virginia, doug >> caller: cramer, boo-yah. >> boo-yah >> caller: i'm calling about a virginia company, lumber liquidators. >> let medical tell you something. after listening to that home depot deal, i don't want anything related to house, including lumber by the way, lumber has come down in price and that, ladies and gentlemen, the conclusion of the "lightning round." >> the "lightning round" is sponsored by td ameritrade td ameritrade lets you trade select securities 24 hours a day, five days a week. that's amazing. it's a pretty big deal. so i can trade all night long? ♪ ♪ all night long... is that lionel richie? let's reopen the market. mr. richie, would you ring the 24/5 bell? sure can, jim. ♪ trade 24/5, with td ameritrade. ♪

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sooner other later, the short sellers will keep betting against tesla are going to realize that they're like wile e. coyote chasing off the roadrunner from the moment elon musk announced he planned the take tesla private, they have been acting like they finally have him. surely this time there is no way for the roadrunner to escape somehow they believe the feds will look at this tweet and we have enough of this nonsense musk is out. but that's not how the world works. today muscatels us he has brought in goldman sachs's financial advisers, hires some top-notch lawyers too. maybe this is all smoke and mirrors, but you know what that doesn't matter. it's virtually impossible to check out. in short, even if elon musk was lying through his teeth, i think he gets away with it, and that's

driving those darn bears crazy same thing of the board members appointed to review the bid. i like them or not, the chief operating of a telco company and linda johnson rice, they're all respectable business people. are they independent i think they qualify short sellers can't stand that then they're there are the extreme skeptics, who say the latest tweet is just elon musk covering his butt after last week's reckless tweet. they want to know when brought these firms on to which i say hold your horse look, i consider myself an elon musk skeptic too but you need to understand how the law actually works first, sure, the s.e.c. may be looking into musk's tweets the thing is, the s.e.c. looks into everything. well don't know if it's a formal investigation or informal inquiry, but i've already heard commentators say they'll be criminally prosecuted by the justice department that's insane. we haven't even seen any charges from the s.e.c. let alone a

referral to justice. remember, saudi arabia's sovereign wealth fund just bought $2 billion of tesla stock in the open market if the company really runs out of money wouldn't tesla have sold their shares directly via private placement? and who know what's the saudis told musk about a possible takeover bid or going private? they can certainly afford a buyout if they want to does that count as secured funding? maybe to musk it does. we have no idea. we know the saudis want to diversify away from oil. taking tesla private would help them do just that. look, i don't like the way musk has disseminated this information either it sure seems like he was deliberately trying to stymie the short seller, but if the bears think any of this is going to bring down elon musk, they need to wake up. the government doesn't down ceos remember the diagnostic company? elizabeth holmes stayed on for five torture years before justice finally decided to prosecute her forefraud.

five years the wheels of justice, they grind slowly while you may think elon musk is a total liar, a modern day pt barnum, there is no standard what you can and can't trust if it turns out he is telling the truth, anyone betting against this stock is going to be annihilated why would you do that to yourself if you don't like tesla, you should silt, but don't short shorting tesla has been a recipe for a disaster stop betting the wile e. coyote will catch the roadrunner. it doesn't happen. stick with cramer. ♪

you shouldn't be rushed into booking a hotel. with expedia's add-on advantage, booking a flight unlocks discounts on select hotels until the day you leave for your trip. add-on advantage. only when you book with expedia. ♪ nvidia reports on thursday get this, tonight wells fargo goes from sell to buy. that's a double upgrade, right on the eve of nvidia reporting and a new chip they came out with i don't know i mean, this stock could be breaking out i like to say there is always a bull market some where i promise to find it just for you right here on "mad money." i'm jim cramer, and i will see you tomorrow

>> welcome to the shark tank, where entrepreneurs seeking an investment will face these sharks. if they hear a great idea, they'll invest their own money or fight each other for a deal. this is "shark tank." ♪ with his idea of the next generation of costumes. oh, lord. are they people? (whirring) ha! ooh!