yesterday but gm going up tomorrow. >> xlu case the rally isn't for real. etf utilities. >> guy. >> the refinered trade might be back on the burner mollen co 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, 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. i'm just trying to save you some money. my job is not just to entertain but to educate and teach you so call me at 1-800-743-cnbc or tweet me @jimcramer. if we go into severe slow down, don't you go blaming our valiant

fed chief powell i have said, he is way too bullish on the economy, and today he did a compete about face we have been talking about it out here, and he seemingly changed his mind hence today's mag n magnificent rally. the s&p skyrockets 2.3%. and the nasdaq pulled more than 2.5% he told us that interest rates would have to go up substantially. the result, the market went into bear mode crushing all sectors and it was the end of economic expansion. we spent a huge am of time

talking to executives in the show the more i realized that powell was being too exuberant. going on and on about first the slow down in housing, a decline in car sales and then an unrelenting plunge in oil which threatens to bring down the strongest part of the economy, and finally a slow down in resent sales. in the end, i accused the fed of not doing enough homework or maybe on anecdotal information about the strength or of course the only prism that seemed to matter, employment just when powell was as his most it sure didn't help that at the

time if things are red hot, then we could handle more rate hikes and should expect it get rates to a neutral level to the economy. in early october, he says we are just below neutral and that is quite a change and a change that i applaud. nothing more boring than prattling on about the fed rather than sticking by his plan for four rate hikes, then we might be able to avoid being stuck in a bear market i said if he changed his mind, we would go from bear mode to bull mode in a heart beat. in a bear market, even the slightest piece of negative moves can cause negative downturns. today we got some bull market

behavior thanks to powell. last night salesforce.com reported a terrific quarter. continuation of powell mode from october. salesforce.com soared. all of the cloud kings soaring higher the triple as, my new name, they had run out of battery power and got recharged. the transports, they ignited and many of the cyclical stocks written off roared back to life. an ugly duckling turning into a swan

now, it is also worth mentioning, come on, isn't that what they do it is worth mentioning this move was tough to swallow for the many commentators who spent weeks defending powell's old position now i am not by any means, i want to make this clear, i am not by any means saying these accuracy lytes thrown into the bus. it was more like he through them into an f one-150. now we checked out the jerome powell box, he won't be the cause of the slow down not after today. however we still have the g 20 summit china here is the scene, president trump says he needs to take the tariffs -- not much success in getting china bad behavior

i don't think he knows what t g do he is an unpredictable guy by my educated guess, trump will say that he is not satisfied with what the chinese are doing so far, he can increase ten to 25%, he can extend an olive branch he is willing to hold off to see if china improves the way it deals with us. i am not some laissez-faire free trade. i think they play dirty. maybe the president's trade war will work. if i put my stock out on, i want to see some sort of deal with china because that is good for business maybe they will lift trade

restrictions i don't think the chinese will bite so do the averages go down unless trump puts some lipstick on the tariff pig. why not something worse than that the most toxic aspect of the market is that we were fighting the fed all the way. as of today, i don't think we are fighting the fed much longer after today, i think that j powell is in the one and wait. good guy and today he may have given both the economy and the stock market a new lease on life provided that the president's g 20 does get more bellicose today was a win, a big fat w

enjoy it matt, in oklahoma. >> caller: what's up, cramer, tiffany had one of its worst days in years. is this the beginning of a long fall or more like a one off. >> actually, i think l brands is not a one off. target was not that bad. tiffany is not that bad either, they need a weaker dollar. and this is part of the reason that jerome powell had to blink. i think there are better fish to fry including kohl's which i think is the best one. let's go to phil in -- oh, where my daughter is, oregon >> caller: hey, jim, it is an

honor. even saying it was jimmy one and powell 0 >> that was nice that he said that i like that. >> caller: i know. it was surprising. >> it made me feel good. hey, listen, you know, i'm a kind man i am a good man. that is from apocalypse now. >> caller: great that you are working for the home man. >> it is not for the ceos, it is for you. >> caller: my stock that i have been watching for years, is office depot and i like the ceo, and his enthusiasm and innovation. and you know, the cash hoard they built of a billion dollars. and you know, i want to get your thoughts i hope i am not missing something. >> you know what, phil, i have

not looked at that. i thought they were going to be wiped out by costco and walmart and amazon and they are still kicking before i say forget about them, i have to do some digging. when you see an outfit like that and the stock has gone up, that means i have to do more homework i am not going to let you down and thank you for pointing out what steve said. i am thrilled. all i want is the for the fed not to wreck main street we are no longer officially fighting the fed as of today and what beauty that brings to the market on "mad money" today, we hear a lot about how the rollout of five g will change your lives. i have the ceo behind qualcomm for all the details. and an analyst just called this

idea the best idea for 2015. i am going to itdx technology to see if it is a bargain buy or its decline can be nothing but a red flag the market might be heading higher today, but i don't want you to let your guard down i will reveal a name just ahead. stay with cramer >> announcer: don't miss a second of "mad money." follow @jimcramer on twitter have a question? tweet cramer, #madtweets send jim an e-mail to madmoney@cnbc.com or give us a call at 1-800-743-cnbc miss something head to madmoney.cnbc.com. >> hey, i'm cramer, welcome to "mad money."

welcome to "mad money" 101 from the u.s. military academy at west point, "mad money" is not a show about picking stocks for you. it is a show about empowering you to think for yourself. ♪ >> you are the reason why we do this we want to level the playing feel for you xfinity mobile is a new wireless network

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click, call or visit a store today. . now that we have gotten encouraging chatter from the fed. now it is time to circle back. consider the case of qualcomm with a stock that is now down 25% from the september highs it has gotten even cheaper company reported three weeks ago, and even though the headline was solid five g wireless technology a huge story that kicks off next year qualcomm's guidance for the next quarter was light. the issue is simple. the next few months may be sub

optimal. once we break through to 2019, the 5g story kicks in. and meanwhile the stock, 4.4% yield so you are basically being paid to wait the question is, is it worth waiting. let's dig deeper with steve mollenkopf ceo of qualcomm. i am glad you are here steve, i don't know what 5g is going to do or why i need it and what is going to happen with that. >> glad i am here to help you with that. >> will i throw away my phone? >> your phone will be faster and for example, just to put it in perspective, you are going to

have ten x the speed, and the carrier is going to be able to deliver that at one-30th the price. which is why you see the verizons of the world trying to figure out how to compete. and it is not just in the u.s. the entire cellular industry starting next year going to transfer into 5g there is a second year which happens a year or two later. every industry which cares about getting its things connected, they are going to be disrupted by 5g as well. this is the biggest change to the industry and the relevancy to its road map that i have seen 25 years working at qualcomm. >> everybody that keeps throwing away all of these technology stocks, may be making a big mistake. but is it in our time horizon

that it is worth investing in. >> you will start to see the initial launches here in the united states and actually korea. and worldwide, the entire world is going to transition to 5g we think it is a big opportunity for us we think the big mover gets the advantage. >> what kind of infrastructure will we need all over the world to make this happen, i know our system is not ready to handle 5g. >> well, actually, it is, if you look at the testing that people have been doing, people have been preparing for this for many years, certainly we have at qualcomm and a number of other big technology companies they allocated the spectrum. and installing base stations and what the base stations look like is they are much smaller. less like the big base station of old

and so it is tremendous amount of activity going on worldwide to deploy these things we are working with everybody and there is tremendous amount of activity to prepare for it. >> will i still need cable tv. >> a lot of places in the world, you are not going to do that if you look the wire line spend and decompose, there is a real opportunity with 5g, the economics are such that the wireless operators give you the connectivity piece and you can bring your over-the-top service. and you see this particularly in the younger generation we are going to provide the technology to enable that to happen this is one of 30 industries that will be disrupted by 5g. >> we know you have a dispute

with apple let's say you are able to work out something. is it possible that there is a new iteration of apples that will be powered by qualcomm say, that we might want to upgrade to given the speed that you mentioned? >> i think there is always an opportunity and a risk when you have these big g transitions or the generations of wireless change it is the opportunity be left behind or to make sure that you are part of that new generation. of course we work with everybody. we would love to work with apple, there is a great opportunity to do that and we think the people that move quickly to these new generations they tend to win if you look at the history of what happens to the motorolas and the blackberry, we try to provide that to everybody. and there is an opportunity with every oem. >> i want the united states to

be number one, are we able to be number one or other countries going to pass us. >> we are a big part of that but this is the first time that i have seen in wireless where there has been so much interest from the governments and one of the reasons is that in a world where everything is connected to the internet, the things and the companies that connect you to the internet wirelessly, they better be trusted and able to meet the demand and they want to make sure that their industrial policy, this is the government, takes that into account. and if you look today, this issis the first time, the first generation of wireless where the chinese characters will launch wireless service in the same calendar year as the american carriers and that has never happened before. and it is important to cellular industries but other industries.

it is a transformative change and captured the importance of government. >> some people say you are talking, and some people say you are not talking, give us an update i want to buy an apple g5 phone and i want it to have -- >> we have always talked about, i have been consistent that this year, the second half of this year, and into next year is when we are on the doorstep of finding a resolution and we are working very hard on that as well >> you are the 5g play, the 5g person, and so glad that you explained it to us it sounds like it is going to be a tidal way of buying. steve mollenkopf, ceo of qualcomm "mad money" back after the break. th

. can tech stocks stage a -- even after this week's terrific balancer after the cloud base purveyor presented a terrific quarter its stock barely begun to roll back recent losses doesn't mean that you should go to lower quality names

salesforce is exactly the type of stock it is not depended on the global economy because its wears have become a necessity if you listen to the conference call, you will understand. and i urge you to do that. what about tech stocks that have none of those secular growth characteristics? what about the ones that are at the mercy of gross domestic product growth take dxd technology created when hewlett-packard emerged it with computer science if you bought dxc after the hp enterprise closed in april of last year and held it through september, you had a 59% gain in

only 18 months since then, the stock has collapsed. 96 down to 62 as of today. a vertigo inducing 35% decline those 18 months of the gain i just mentioned, dxc just rolled back nearly all of them and it still might not be over. before i get into my reasoning, let me give you some background. dxc describing itself as the leading independent it service you know, how important that is. and man, it used to be a total market darling this thing was beloved from the get-go the company is kind of like ralphy in the sopranos but when the boss wants you gone, you are gone in this case, the stock market is standing in for tony soprano.

money managers have loved it the thing is, these outside surprises were driven almost entirely by cost cuts. that was the whole point of merging hps enterprise emerging services and they hit their targets faster than expected in the end, you can't sustainably grow your business with cost cuts it was much more of a crosscut story. so a year ago management announced another deal combining it with two similarly privately owned company. to form a separate entity called

per expe perexpecta as the stock continued to work its way higher, we decided to sell it for the trust. first we had a 25% gain and we didn't want to give it back. there was much less reason to own dxc. and i also worry that the numbers could get pole axed if we saw slow down then we got the trade war worries and while dxc only gets 4% of its sales from china, very much a global business which makes it vulnerable to an economic slow down when dxc reported in may, the company beat the estimates and management's guidance was

unbelievably awful wall street wanted to see $24 billion in revenue, dxc talked about 21.5 to $22 billion in revenue and also looking for $9.08 of earnings telling you to expect something between 7.75 and 8.15. can you imagine that is forgiving how the old market was. that was then and this was now i have to ask what the heck were the buyers thinking. they thought dxc was cheap even the reduced number the stock was trading, when it pulled back after the quarter. when a company issues a disappointing forecast, you have to wonder if maybe it seems

cheap. in august, dxc delivered a nice earnings stocks still continued to climb. they used to give you chances to get out, didn't they when techs started break down, a little more than a month ago, a british technology website, the register published a devastating piece where we learned the american division had let go over double digit drops in recent sales hurting its abilities to make sales. quote one of our sources on this occasion told us the company is in chaos on all of our cuts leading to -- who could have guessed, stocks got obliterated. since then they got worse.

when you look at the company on glass door, the ratings are heinous. the latest quarter seems to confirm the diagnosis. the thing that jumped out was the gigantic revenue shortfall sales down to 9% year after year shaved hundreds of millions of dollars off of their revenue the stock got hammered that's equal to 19% of the share count. holy cow, trade at 6.6 this year's earnings. i think that is a mistake. sure, maybe dxc can give you a short-term bounce. but long-term, i am worried about these guys they want fast growth, not slow to declining value tons of tech stocks have sold

off dramatically dxc is not one of them it seems like the cuts may have gone too far to the point that it is hurting dxc's ability. i want no part of it let's go to crystal in california crystal. >> caller: hello, mr. cramer, my name is criystal, i have been watching the show since i was 18, and now i am 21. i love your show i want your position on zuo. my stock is down do you think i should buy more >> crystal, thank you that you have been watching, there has been a big collapse in tech stock. i would average down, i have used their products and they are

amazing. john in nevada. >> caller: long time listener, second time caller i got this company, don't know too much about it. it is called survey monkey and they were recently bought out by other company and curious if you thought this was a take-over target. >> i don't like to recommend stocks and this became public as of now i think sandra laurie was on our show and i thought this stock was a buy. i think you should own svmk, also known as survey monkey. tech has become so hated maybe until today, and i think you have to focus on the ones that are growing fast and not the ones that are value. so i would stay away from dxc.

i am playing "mad money" oligopoly. and a stock that light a fire, i will reveal the name and then the lightning round stick with cramer.

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now that the federal reserve has given us breathing room, what are we going to do with it? after today's terrific run, i want to search for new opportunity. fortunately for both main street and wall street, that seems a lot less likely. i am always on the lookout for stories where the deck is stacked in your favor. i would not recommend a stock on the show if i thought the underlying company was breaking a law. but i love the stock where they have found a way to seemingly give them the best advantage look at linde.

frankly, i have a strong suspicion that this was a competitive deal i would not have been amazed if not for the fact that mergers get approved we have to find them my job is to help you run your portfolio. let me put it like this, what is good for an individual company may not be good for the broader competent let alone the whole country or the entire world. i bet it will be sub optimal for their customers.

and not that long ago, it was five, but then air gas was snapped up and in other words, the industry has gone from being extremely competitive, to being a slap happy oligopoly, a market controlled by small number of players who can't help by dominate it. you don't have to like that the industrial gas space has become an oligopoly there should be more than three large scale competitors oligopolies tend to become good investments. when you only have three players, easy to avoid getting into ruinous price wars. let me give you examples in the old days the airlines used to have a normal well

functioning market there were lots of different competitors vying for business and the airlines would end up competing on price of the same routes it was a race to the bottom. great for cheap airfare but terrible for the profitability of the airlines. the business of air travel was competitive and inherently awful. and then the justice department approved a series of mega mergers. and finally, in 2016 u.s. air ways joins forces with americans. now four carriers. and many routes have no competition at all leads to exorbitant pricing and terrible service fabulous for airlines but horrible for you this group is doing much better than it used to.

united is on fire. just look at spirit air surging 15% yesterday. so many competitors taken out of the quarter, this is beginning to thrive. a few years ago ball corp was allowed to buy one of its main competitors. who makes up these laws. the regulators allowed them to consolidate, not just an oligopoly. but a duo oply this boring can maker stock is up 31% of the year let's go back to linde down the road, linde is going to

have more pricing power because it has two large sexual competitors. even if you put all of this consolidation to -- just took over the ceo of the new linde. put them together and you have a power house. the new linde is expected $1 billion of cost industries. they may use that money to buy back their own stock after today linde trades for a pricing yesterday's -- i think it deserves to trade at a premium. the next closest competitor. can you believe that just two companies control 56% of the unbelievably lucrative gas space. if you want a healthy functional

system as long as the justice department's anti trust division keep approving anti competitive mergers, we might as well profit from them. so it has the most to gain, now that the group has gone down from four major players down to three. a lot to like here i would be a buyer i would be a buyer right here, right now. stick with cramer.

>> announcer: lightning round is sponsored by td ameritrade it is time it is time for the lightning round on cramer's "mad money." that's where i take your calls rapid fire you tell me the name of the stock. i tell you to buy, buy, buy or sell, sell, sell we'll play this sound -- [ buzzer ] -- and then the lightning round is over. are you ready, skee-daddy? it's time for the lightning round on cramer's "mad money." starting with gilbert in florida. >> caller: booyah. first i want to tell you very much my family and i are getting rich thank you. >> thank you for serving thank you for mentioning my

book what's up? >> caller: i have some cash that i want to put to work. looking at berkshire hathaway. >> you should pull the trigger let's go to dakota who happens to be in new york. >> caller: booyah, jim exxon. >> we like that company. terrific ceo stocks coming up as of late. i do like it i like it a lot. jack in ohio. >> caller: play for 2019, oke,

onek i think it is a great place to start a position. chris in pennsylvania. >> caller: thank you for taking my call and thanks for your help i have a question about fnb. it is a regional bank. and the numbers look good on paper, but the stocks flat as a pancake. >> the regional banks themselves have been a nightmare to own i rather see it jp morgan. better situation julio in florida. >> caller: this is julio from florida. copa, buy or sell?

>> it is not bad i would go with delta here hasn't had a big move or american those are better jeff in new york. >> caller: how are you cramer. >> good, cramer, what's going on. >> caller: a acadia pharmaceutical. >> up three today. difficult area people have not had a lot of success there. suspect that people like that. and that, ladies and gentleman, concludes the "lightning round"" >> announcer: lightning round is >> announcer: lightning round is sponsored by td ameritrade evening long. ooh, so close. yes, but also all... night through its entirety. come on, all... the time from sunset to sunrise. right. but you can trade... from, from... from darkness to light.

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all right. i hate to be this guy, but on spectacular days like today, you need to think about what could go wrong what is the biggest risk to the system after listening to fed chief jay powell, i would say nonbank lendings they now control half of the current mortgage market. powell describing them as imprudent. who are we talking about here?

the largest are quicken loans, penny mack and loan depot. i have no idea if those are the ones he is talking about or worried about. but if you have nonbanks lending money not playing by the bank rules, that could be a serious problem that i am worried about. so what do you do if you are jerome powell? do you raise interest rates to stop these nonbankers, that is what we did in 2006, so i say no, no the fed can make sure they play by the same rules, if there are outliers, you don't raise rates, you shut them down the fed has that power, so use it what concerns me, is the feds will miss the mark

in 2006, bernanke could have said we will not why am i so worried about this the housing numbers suggest sales are collapsing right now and they are running substantially behind last year's pace home prices are down 8.9 although there are pockets that are lower than, 7.4 months of supply so sales going down, supply going up, and rates going up that's a recipe for disaster no wonder powell had to change its tune only one part of the border weakness which includes auto, and other stuff pales in comparison to the housing slow down let me read you part of a

conference call from an outfit called redfin. since then rising ratings and home prices has caused buyers industry wide. talking about sales declining 20%. ouch and that was three weeks ago since then things have gotten much worse let me remind you what happens when you get a great deal of house, that causes a collapse in housing. few buyers can afford these homes because they are swapping out of a cheap old loan for an expensive new one. if the nonbank lenders issue floating debt, these sellers will default on mass if they can't find buyers.

on my larger take away, is that powell deserves a ton of credit for recognizing that he has been bullish. and it is time for him to put on his regulatory hat he needs to crack down on them we know it is happening. we see the ads we know there has been little or no regulation of these guys. the feds need to crack down before it is too late. mr. chairman, don't raise rates, raise hell stick with cramer.

thank you very much jay powell, you did the homework, and came to a different conclusion and that gives us main street, main street, not just wall street, but a new lease on life. thank you. i like to say there's always a bull market somewhere. i promise to try 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." ♪ you always know who's at your front door. [ knock on door ] who's there? it's jamie, here to pitch. who? it's jamie.