tha little bit you i have to think about what is on your buy list. you'll have to arth in on these things this etf was trading 167 this morning closed at 181 and the low was 150 from march of 2020 so i think you start after this one. >> thanks for 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'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 make you some money. ♪ hallelujah ♪ because my job is not just to entertain but educate and put things like this in context because you're probably wondering what the heck

happened you can call me at 1-800-743-cnbc or tweet me @jimcramer which i'm having some fun i try to help out now and then look, there's nothing like a huge down opening based entirely on the stock futures to get the bullish juices flowing dow surging 828 points the s&p roaring 2.6% the nasdaq 2.3%. i'm calling it a bull smoke show now, smart hedge fund managers had bet that today's cpi number would cause a crash. by the way, they thought this was october and it was over. they wanted to get out well ahead of it if the cpi -- or even short it. >> sell sell sell! >> when it was down 2% in other words, selling the futures down 2%. now, these alleged geniuses

weren't worried about a future where credit's tightening rapidly and buying a house becomes borderline impossible. they weren't betting that we'd have way too much auto inventory by this time next month, resulting in real price cuts they weren't thinking about retail being promotional and having so much inventory they simply made up their minds that the market was poised to be crushed by a hot inflation number, which is why they wanted out. sell out down 2% through the futures. because they soon figured it would be down 5% maybe 6% hey, maybe it would be down 10%. >> that was easy >> i am not kidding. that's how they think. they were worried or opportunistic, so worried or opportunistic that they felt they could sell down 2% betting it would be down 4, 5, 6, 7, 10%. now, some of these bears nigd they could make their whole year by being in cash while the bums who stayed long got mauled they made fun of you they were salivating at your expense funny thing this marked doesn't

always comply with what the so-called smart money's expecting. so how do we explain today's magnificent rally? well, we -- the oscillate ovr a little more than negative 5. minus 5 is where almost all extreme sell-offs end. almost all of them and i've studied that oscillator since 1987 this is the s&p's proprietary oscillator by the way. second, the volatility index, also known as the vix, didn't spike when the market rolled over carl quintanilla pointed that out to me this morning that's usually a sign we're dealing with what's called a misdirection play. we always tell you if the vix goes down when the market is down that is the most important tell the best sign that this early morning pullback was a loser, i'll tell you what the best sign was. it was there and i can read it. i can smell it i can taste it the market didn't go lower than where the futures took it. and if you read "confessions of

a street addict" it tells you exactly what happens when that occurs it means there will be no follow-through whatsoever and the bears will be hung remember what happens when there's no follow-through. let's say you're a bear. you end up trapped trapped like you're one of those springloaded bear traps with saw teeth. sure, bears can howl or roar, it's all fixed, the whole thing is fixed or the idiot buyers don't know what they're doing, these long buyers, they're clowns calling you clowns, by the way laughing at you! but if they can't bring out more sellers with their fear, with their going to the media and scaring you, if they can't panic y you, then they can only escape the trap by ripping their legs off. and then going home and crying to their mommies remember, they're just cubs.

now, how could the cubs have been so wrong? because the people still left in this miserable horrible no good market aren't going to jump stocks over something they already knew, that the consumer price index is too hot no kidding it's too hot what are they like oh, no, it's gotten cooler? what, did i go to college to get stupid stupid? rates are going up so fast that you can't even figure out when they'll hit the consumers' collective psyche. but you know they're going to. meanwhile, the banks will make so much money on your deposits that it's crazy for them to lend to people when they can just invest that money in treasuries. why lend no wonder the banks led the averages higher. credit tightening's going to be brutal it will starve marginal businesses, even legitimate ones the combination of higher interest rates and tight credit will lead to a dramatic slowdown that will at least allow the fed to win i've got a whole new analysis here from my dad who was in world war ii i think they're trying to win the battle of midway okay that's the analogy i used in my investing call today which you can go listen to at the cnbc.com

website. until the battle of midway the u.s. was losing everything you've got to listen to the call, by the way it's got -- it's very cool it's got this hilarious karen cramer story right at the top that's worth the price of admission to the club. now, you won't see midway played out in these backward-looking government statistics although you may see it in the banks that are reporting starting tomorrow. they might say, and this is what i'm looking for, that credit's getting tight, which is exactly what the fed wants to hear it means they've conscripted the banks into their fight against inflation. you know what else trapped the bears? like yesterday with pepsico, which was supposed to be awful, we had some big upside surprises from some highly visible companies. i know domino's was one of the powerful stocks of the last decade but then it lost its mojo that's a technical term for didn't do well it's got a new ceo, though, and

numbers it reported today will bring a slew of upgrades tomorrow simply because they weren't horrible and that's something that may spread to the rest of the industry because the qsrs, quick serve restaurant stocks, they tend to have a herd mentality, as so do the wonderful analysts who service it speaking of herd mentality last night i questioned how a terrific bank like key corp. could be so low it yields 5% the answer, it made no sense which is why key was the third biggest gainer on the s&p 500. by the way, you could have gotten it much lower at the opening thanks to the panic selling of the bears maybe you need to watch "mad money. by the way, was it so hard to find coca-cola either? that's where i suggested -- people were like how did you think of that? because it's sugar water like pepsi. now, a bunch of banks were going higher including the majors which could mean that when jpmorgan reports tomorrow we might get one of those called shots where jamie dimon says he's buying shares because that fortress balance sheet is too enticing to ignore i wish the stock hadn't roared five bucks today now it's coming in too hot, which is a recipe for weakness

but maybe people finally recognize how lucrative banking can be when the fed tightens we sure seem to have forgotten that the financials benefit from higher short-term rates more than anyone else in the world. we also saw real seller's remorse in tech. the semis bounced even as they've been downgraded relentlessly stocks preannounced to the down side like applied materials were higher when i gave my investment club talk i mentioned how much i wanted to trim our semi exposure for the charitable trust but i couldn't let them go because of the possibility of the some sort of spike up. today i felt good because we got some sort of spike up! now, i made one thing clear. this is one day. we've had so many bad news, so much bad news, that we were oversold we were due for a rally. they tend to be one days did i know it would be today no but i did say you have to stay the course because this inflation number, 'twas a surprise to you? was it a surprise to anyone whoa was watching at home rental, food, wages. the only people that seemed to

be stunned were the economists who were polled. i have to ask you, mr. and mrs. economist, do you ever go to the supermarket? have you ever rented an apartment? are your kids trying to get a job? they'd sure be better at your job if you listened to them. finally, let's talk pepsico. yet another up 3% today like i predicted. all these top down geniuses never look at individual companies or what they have to say. in their eyes companies are too small to matter. they think reading a conference call is so totally beneath them, makes them feel like not intern at goldman sachs right down the block 40 years ago but if you listened to the pepsi call here's what you'd know. right now we're at the inflection point where raw commodities are peaking, every single one of them pepsico went on and on saying they can't take advantage of lower raw costs because they're locked into prices from nine months ago but those lock-ins are almost over soon they'll all come down the commodity inflation headwinds are becoming tail winds. so we're going to get? real big earnings numbers down the road you don't need a weather man to

tell which way the wind blows. but you do want to get ahead of the change of direction. today was a down the road day. we accepted there would always be a group of people who look through the bear -- they look through the bear, lens but there are also people who are bullish. the bottom line, people got too negative but this morning's sellers, they weren't able to create enough fear they didn't get enough tv shows, i guess. they couldn't even get you to sell everything. even with a 100 basis point on the line after today we have to remember there are always people who want to get out through there are also people who want to get in at the right price or never sell at all hey, can we go to jeff in new york, please jeff >> caller: hey, jim. how are you? >> i'm good, jeff. how are you doing? >> caller: great thanks for taking my call. people appreciate what you do despite the flak you get >> thank you we had a great club call today it was really dynamite what's going on?

>> caller: all right so my question is about dkng, draft kings. and more specifically to do with the rumored espn, it was rumored last year as well. espn wanted 3 billion or something of that nature it's rumored this time that it's a lot better deal in favor of draft kings and being that it's been down so much i know growth has hit, i kind of wanted your opinion from here. >> well, i do think we have to worry about this california election that's the problem we've got to see what happens there. but i think jason robbins's doing a terrific job and i'm very much aware that partnering with draft kings would be a very good thing for any company who's in the media business because they're all doing so badly people got too negative and you saw what happened this morning but they weren't able to create enough fear. the bears were toothless after today we have to remember there's still plenty of people who never want to sell at all. on "mad money" tonight could a solar play like snoefa help shine some light on your portfolio or could the stock's recent downturn be warranted

i'm checking in with the ceo then there's a bull-bear debate when it comes to l3 harris but where do i come down on the issue? i'll different you my take that was pure hubris and earlier today we had our meeting for cnbc investment club members and we got some amazing. they were so great we figured we'd open the floor here and get some more burning questions about the market from the investing club so stay with cramer! >> announcer: don't miss a second of "mad money." follow @jim p. cramer on twitter. have a question? tweet cramer hashtag mad tweets 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.

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what do we do with the home solar play the industry's gotten some massive federal substance duz but most solar stocks are fairly speculative and right now the market does not like speculative stocks that's made this group incredibly volatile even on days like today take sunnova energy international which sells home solar and battery storage products while also offering financing plans. we had them on the show in august not long after the climate bill known as the inflation reduction act passed and i thought they told a great story. but when i got a call about sunnova a month ago i said i really couldn't recommend sunnova's stock given how much the stock had run and the fact the company's unprofitable since then the darn thing's lost nearly 40% of its value precise liv because it's the kind of name that gets hammered when wall street doubles down on negative tu. but we always want to be fair. so when sunnova reached out to

give us their side of the story, we said absolutely it's certainly due toar for a revaluation given how far it's fallen so let's check in with the founder chair and ceo of sunnova energy international to get his perspective. mr. berger, welcome back to "mad money. >> glad to be back, jim. thanks for having me >> john, i know you didn't take it personally. i'm kind of concerned with the fed tightening they've really kind of basically made it so if a company's not lucrative it's getting crushed and if it needs financing it's almost like they don't want it to do well so how does a company like sunnova, which does need to do financing, engage in this new world? >> if you can go back to several quarterly calls that we've had, we've been pretty negative overall on both the inflation situation and the overall economy for quite some time. and so what we've been doing, and really sunnova will be ten years old in november, we've been building the company's

balance sheet for that entire decade but particularly rachlted up and raising a lot of cash as recently as august we raised over $600 million on a convert to prepare for these bad times. as we're looking forward, we're a service provider we're providing an essential service to homeowners. and the last bills you cut, even after you get laid off or a bad economy, don't have any cash, whatever the bad news is, the last bill you cut are the power bill and the water bill and we're cheaper than any power bill, any monopoly power bill out there. so people are paying us. and in fact, our default rates are dropping as we get more and more into this bad economic times. so our business is recession resilient. our business that we built our balance sheet and cash is king is recessionproof. we feel like we can sail through these very uncertain economic times. >> do you have people who prepay because they just want to be in better shape than they want to get ahead of any interest

charges? >> they do prepay. although in a rising interest rate environment you're going to see the prepays drop as people hold on to the cash and they want to be able to essentially have more liquidity and not be able to have things like mortgages that they don't want to take a refinance to come back and pay us all off whether it's a lease, a purchase agreement or a loan. and that has absolutely happened that has absolutely been the case has it impacted our liquidity? not one bit. not one bit at all and indeed, if you go back and you look at the cash position of the company and i think that's what's important here. money losing on a gaap accounting base you're absolutely right but gaap has a lot of non-cash charges in there and gaap does a better job when you manufacture widgets, manufacture equipment or do a gain on sale rather than having long-term contracted cash flows on a capital-intensive business that's growing at a

blistering pace. and that's exactly sunnova our problem and presentation is on the accounting. it's optics. so let's talk cash we have $9 billion in contracted cash flows that's not upside. that's not potential these are contracted cash flows. and again, the customers are paying us even better than they were just a few months ago then we have a billion dollars in cash. and when we look out a few years to fully service those contracts it will cost us at most $2 billion in interest costs and service expense, 5 billion of debt that leaves $3 billion in nominal cash that's today and we're building that cash as we move forward in time. 3 billion divided by about 115 million shares about 26 bucks right? that's where the cash would be now. on a non-discounted basis. when you look forward, we see that getting in just at the end of next year into the $30 per share stock sitting at 18 bucks. >> wow how about your new commercial

idea which i think is pretty exciting >> yeah, what we're seeing is that as we have more and more of these technologies coming together it's not just solar, not just batteries, it's load management how do the autos with electric vehicles, how do they interact with the home? then you've got generators, fuel cells even there's a lot of new technologies that we're putting together and again, sunnova is a service just like a utility or many other services like a cellular telephony, yeah, we finance but it's an enablement of what we do just like software is enablement of what we do. we take all these different equipment manufacturers, all their boxes, the batteries, the solar panels, we plug them into our software, and then we're monitoring all that equipment and make sure that it all functions on the house so we created a mini utility system that then if it doesn't work we can talk about the recent hurricanes and how we helped our mini customers through that in puerto rico and florida. but as we find things that are wrong we get it fixed very

quickly. as part of moving into an adaptive community where you pull in like a master planned community, for example, we've got all these homes, you have these gaps here and they're called businesses. and so we wanted to pull those in so we could have a more resilient community that we're building in fact, we filed to do just that in the state of california just a few weeks ago >> i'll tell you, john, what i'm hearing basically is we can lump all the businesses that are not making regular profit, let's call it, together and then find the ones that actually when you back out and do the accounting are actually making money and have a service that is going to hold up in a recession and then but you come back with a name like sunnova, which you may like anyway because of what you're doing for the environment. so i appreciate you came on. you're the one who answered the challenge. no one else has. which takes a lot of guts. and i really like what you had to say that's john berger, chairman and president and ceo of sunnova, which by the way if you look into it i know what you're going to want to do. you're going to want to order from it.

"mad money's" back after the break. >> announcer: coming up, can the best offense for your portfolio be found in the defense cohort stick with cramer and find out next

this year has been brutal for the stock market, and it sko get even uglier as the fed keeps tightening in order to stamp out inflation. wouldn't know that after today's action but there are some groups that are doing just fine with or without this upside move and you know what i'm talking about. i'm talking about groups like the defense contractors. thanks to russia's invasion of ukraine we are seeing a renaissance in defense spending worldwide. which is why both northrop grumman and lockheed martin can be up double digits for the year even though the s&p 500's down 23%. remember it was down 25% that was yesterday on top of the war the defense

contractors have the added advantage of being more or less recession proof. they're not tied to the consumer at all or even the enterprise you know what? they feed at the federal trough, meaning they don't have to care too much about the broader economy. but not everything in the industry has been working. some defense contractors have struggled with supply chain woes or rising raw costs. others have folded into larger more diversified companies with weaker end markets and nobody talks about. as we approach the end of the year, though, there's one defense play that i like quite a bit going into 2023. it has lagged the best performers in the group. and i'm talking about one that's a real mouthful. they really ought to change the name to be honest. l3 harris technologies i like both l3 and i like harris it's one of the most tech savvy defense contractors in the game. they make all sorts of sxlonkz communication equipment. they think that integrated mission systems, intelligence, surveillance renaissance, reconnaissance probably -- i'm

sorry. space, avionics, electrical warfare, precision engagement sensors, and drones. yes, this stuff has become the bread and butter of the modern military but l3 harris still gets less attention than its more famous compadres northrup and lockheed i liked both of them and when they got together i liked them even more. i think it's gotten to levels where you have to pass why? when russia invaded ukraine l-3 harris saw its shares throw from 210 to 280 since then it's come back to the rest of the market where it's trading at 227 and change. at one point it even fell below 210, levels where the stock was pretty much reflecting total world peace. meta not the zuckerberg company some of the weakness here is

because l3harris has struggled this year. when the company reported in april the results were a mixed bag a slight revenue miss coupled with a modest earnings beat supply chain problems and delays caused by washington's inability to quickly pass a defense budget fast forward to july and the results look very similar except this time l3harris also effectively cut its full-year forecast oh, man. by saying the numbers would likely come in at the low end of their previous guidance. not great. the stock actually managed to rally in response, though, because the weakness here was already baked in you know how that is things appeared to get worse, though, when cfo michelle turner spoke at an industry conference a month ago. she explains that l3harris knew the first half of the year would be rough but then she said, and i quote, we assumed in the second half there was going to be a steeper ramp of terms of that recovery. we are continuing to see the recovery however, it's more muted than what we initially anticipated.

and we do anticipate that it will elongate into 2023 hp remember what i told you about that word? that's one word you never want to hear from an executive because it means they're going to take a lot longer to close big sales. why do they say el ongate? why don't they say listen, we're not doing well it's discouraging. especially because turner mentioned this in response to a question about how l 3 harris could benefit from orders going to ukraine there seems to be a problem with sealing the deal on these government contracts which is unfortunate. whose fault it is i don't know that's why i want them to come on the show. when she got another question about night vision going sxlz radios for ukraine, stuff that's easy to produce quickly she explained that l 3 harris has tons of demand but unfortunately these are areas where the companies are currently supply constrained. they're prioritizing ukraine and they've got a couple hundred million dollars of businesses out of these i didn't like that either. again, it's a mixed message at best however, turner repeatedly hammered home the point that demand for their products remains incredibly strong. to the extent there's a problem right now it's a problem with

timing because demand is what i'm most worried about when i look at a stock some of that timing problem comes down to the supply chain but we got some good news on that front turner said, "although the supply chain recovery isn't where any of us would want it to be it is improving." in response to the presentation the stock got hit. as it should have. but i don't think it was as negative as wall street concluded. it felt more like turner was explaining the recent guide down than introducing new negatives at the same time we heard about strong demand, some incremental supply chain improvements. in the end l3harris is a company with short-term woes but it has business that should pay november 12023 and 24. that isn't that far off, people. the question you have to ask yourself is is it worth the wait a couple weeks ago wells fargo published a pretty contrarian bearish piece on the whole industry that singed out l 3 harris and lockheed. they're worried about what will happen to the contractors if the

war in ukraine ends. and then a republican controlled congress gets into a budget fight with the biden white house next year. ugly scenario. they point out that the 2011 budget control act ultimately caused a big hit to defense spending they also see l3hirs as the gang that couldn't shoot straight plagued by execution issues that caused it to lag behind its peers. i don't see the defense budget being threatened before the 2024 election because this is not 2011 w when we were winding down the wars in iraq and afghanistan thanks to russia and china we're living in an era of global remilitarization how about the bull side? just yesterday credit suisse's scott dusula initiated coverage on the aerospace industry with a much more balanced stake giving l3harris an outperform rating meaning buy. he points out the company's got great bookings and it deals in more small ticket items than other defense contractors which means its sales can bounce back faster than the rest of the industry much easier to sell radios and

nightvision goggles than fighter planes at the same time he likes l 3 harris is substantially cheaper than lockheed or northrop grumman on a free cash flow basis. despite having broadly similar financials so where do i come down? i am actually not too worried about peace breaking out in ukraine in particular because russia's run by a psychopath but also because l3harris is only up less than 20 bucks from where it was tradingbefore the invasion all the rest of them have run. at the same time there's huge demand for their products and western governments will have to spend years restocking their arsenals if they're sending so much military aid to ukraine i know the arsenals are totally depleted that means you're going to have to order and order again bottom line, l3harris has been a dog for the last several months but i like the pure play defense contractors here this one in particular has become very attractive and debating it, putting it in the bullpen for my charitable trust. let's take questions let's go to manuel in illinois

ma manuel >> caller: my question is on raytheon technologies. i'm looking to get into a defense stock. just wanted your thoughts because i know they've got a little bit of exposure to russia >> well, okay. so i have long liked raytheon. it's been my favorite. now, candidly, i've been looking for new ones because i always like to keep replenishing. at 18 times earnings, down only 1%, run by the great great hayes, i say buy raytheon technologies how about gregory in california? gregory. >> caller: jim, congratulations on another fantastic monthly meeting. >> oh, thank you you like that stuff? you like that stuff in the beginning about lux better -- better be lucky than good? you like that? >> caller: i like that i also am really enjoyingn't instructional information you're sending out on how to read an income statement because most -- >> oh, man we did a good one on amc i know interested in how to read a balance sheet. but first you have to turn that

upside down. you're holding it the wrong way. i say that to the primates but they do have opposable thumbs >> caller: at the end of the call -- you make me laugh. you mentioned an energy stock that was in the bullpen. i'm calling because the sector went up 4% today but this particular one only went up 1 1/2. they sell gas where i am actually in southern california. i wish they were selling it in my old country in england, on the continent. sempra energy. >> it's run by jeff martin he's figured out how to get energy down from mexico. the stock is up for the year, great growth profile i think sempra energy has replaced dominion as one of my absolute favorites now, remember, i also liked entergy and i have a soft spot for aep. but the ceo's retiring there too. a lot of retirees. but this guy, this fellow jeff martin, who by the way served in the military, he's great i even took a picture of their headquarters building when i was recently in san diego because i thought it was cool as all get

out. they're giving me the hook here but i was having so much fun l 3 harris was a real bow wow for the past seven months. but given the recent pullback i think it's the most attractive of the whole group much more "mad money" at cnbc investing club just referenced a moment ago subscribers at our big monthly meeting. you've got to subscribe. it was such a hoot there were some questions that we just didn't have time to answer you know i like to get involved with people who are interested in stocks. so i'm opening the floor to you to hear the market-related questions you're focused on. then the market fears a recession but how could we have a recession with such a low unemployment number? i'll give you my take. all your calls rapid-fire in tonight's edition of the "lightning round." so stay with cramer!

jeff and i held our monthly investment club meeting today but there's never enough time to get to all the questions that you our investing club members have so that's why we figured we'd take a few more of them in the show tonight offer you kind of a sneak peek at what a monthly meeting looks like and you've got to attend i throw a lot of bombs in it but i tell a lot of stories that are personal real personal. now, you can learn more about the club and the stocks we own for it anytime by going to cnbc.com/investingclub and again, up front and personal i'm talking about home life. so let me give you a sample of what we do first i'll say although sometimes i read a paper but it's really in the prompter. so i'm just going to look up first up, we have john in new york who asks would like jim's take on verizon. is this company on the downfall or is it just down like the rest

of the market? would you start a position the athese levels or dollar cost average in this is a great question because everybody who's followed me for the last two decades knows that verizon's been my favorite but verizon has been caught and passed by t-mobile t-mobile's a growth stock, doesn't offer any dividend verizon's got the dividend at&t had a dividend and had to cut the dividend i think verizon has the cash flow to cover the dividend but that's not enough to own a stock. that's not enough to keep a stock safe what you need is a stock that can go higher not on the dividend but on the business and that means t-mobile. okay next up we have robert from maryland who wants to know at this moment in time would an investment in chipotle mexican grill cmg receive your approval or do you have a different suggestion i have liked this stock, robert from maryland, since 18 months after the pandemic -- i'm sorry, they had a food illness, airborne illness problem and 18 months later, 18 months is how long the american people

think about these kinds of terrible things and then they forget and if you wait 18 months you buy it and then you do well. sure enough we're up about 1,000 points on chipotle and i'm not changing my position if anything, i like it more because management's gotten better so the answer is yes by chipotle right here let's go to david. he's in new york and he asks, "hi, jim. enjoy your work. thank you, david what's your opinion on union snavg union pacific is the best rail, it's run incredibly well, but union pacific is involved in commerce and the difficult thing about commerce is it's slowing down on a day like today people get very euphoric and they buy everything so you might just say wow, you know what, maybe jim's too cautious about this railroad but the answer is it can go up for a couple days but i don't want to overstay my welcome even though i like the company. next up is eric. he asks is it time to buy snowflake? i was just doing a lot of snowflake the other day.

frank shoolootman. he's got to rent the cloud system that to me is so revolutionary and also so inexpensive that if i were running a business -- i used to run a business that needed the cloud. i would switch to a rent the cloud and only use it and pay for it consider it to be like the uber for the cloud. i'm not kidding. i think frank's doing a great job. now, here's the problem. he's losing boatloads of money and as i've told you on "mad money" we cannot recommend stocks that are losing a lot of money because we might lose you a lot of money but this, if you've got, i'm not kidding, a couple of years to put it away you will be fine let's go to larry in nebraska, who says, "i own caterpillar stock. it seems like the last couple years that'sn't moved much do i continue to own it or sell it lepts understand each other. we have an economy that's booming but at the same time there's worldwide problems caterpillar is levered to a lot of oil and gas and oil and gas

the industry has really pulled back on drilling it's also going to do i think great next year on infrastructure but this is the single biggest bite. has to do with the fact we have an incredibly strong dollar. what it really is is a subsidy against cat. all those other companies whenever i see, i see xhats yue and i say to myself why do we let them in here when we have this great american company cat, why do we put a tariff on these people why don't we have fair trade the strong dollar's really hurt them by the way, that is a very radical right position but i actually think it's a radical left position because it keeps people's jobs here rather than sending them overseas. and i like that. last but not least we have patrick who asks hey, what's wrong with pfizer? it is defensive. dividend owns the vaccine market. lies there like a sleeping dog but first i've got news for you. i've got two rescue dogs i've got the ragu and i've got the marley and when they're sleeping don't

mess with them they're happy. and they get in my bed i goat out at a quarter of 4:00 or 3:30, boom they're in the bed. let's take the sleeping dog thing out of the equation entirely what i do like about pfizer is they have unbelievable management magic finger unbelievable like magic -- albert bourla, who is the ceo, dr. albert bourla does a fantastic job, and i would buy pfizer because they just bought the company biohaven's migraine drug this is a wonder drug. it will be still one more amazing drug for pfizer that biohaven could never do anything with because they didn't have enough money so the answer is you can let sleeping dogs lie but you can buy pfizer whichbristol-myers in my own mind. "mad money's" back after the break. >> announcer: coming up, cramer takes your calls and the sky is the limit. it's a fast-fire "lightning

round. next ♪

in any business, you ride the line between numbers and people. what's right for the business and what's best for everyone who depends on it. solving today's challenges while creating future opportunities. it takes balance. cla - cpas, consultants, and wealth advisors. we'll get you there.

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agent. they'll treat you like a real person whether you actually go speed walking, or not. better care begins with listening. humana, a more human way to healthcare. it is time it's time for the "lightning round" and then the "lightning round" is over. are you ready, skee-daddy? i want to start with jacob in north dakota sorry. north carolina jacob! >> caller: boo-yah, jim. fourth-time caller >> boo-yah >> caller: yes, sir. i don't fight the fed. discover financial i want to sell with both hands >> you are fighting the fed with

tfs. you are in the fed's crosshairs, man. no place to be how about we go right now to rob in tennessee rob. >> caller: hey, jim. what a crazy day crazy crazy. >> wasn't it crazy great. great day to be alive. what's up? >> caller: it is lots of opportunities. here's a company you've liked in the past i think you've seen had the ceo on the company is dupont. >> i had them on many times. you know, i actually like corteva. i think the ag group is ready to roll again as in bull market mode let's go to joe in indiana joe. >> caller: hi there. hello, mr. cramer. >> what's going on, partner? >> caller: i have this stock that you gave us some time ago it doesn't show very positively. they had about five good numbers

in eight so far. and rprx >> it's not a house on fire. it's not a house on fire but it's not hurting you and i do believe this is -- this is one of those -- it's a general atlantic story they have been terrific. i like it, and i'm going to stick with it. it's not big but it's not bad. i want to go to charles in illinois charles. >> caller: thanks for taking my call my question is about tlerian it was supposed to bill lng to ship lng to europe construction still going on and it has over 300 million in cash. is it worth doubling my position >> every time i say something good about it i've got 40 guys who tell me you haven't done the homework, this and that. it is absolutely what i said over and over again, a call on the situation. i have not said that this is

some sort of like aaa piece of paper like j&j it's an option on charif souki being able to build this thing it's a $2 and stocks stop at zero they don't go to minus 2 so i'm okay with tellurian rick in wisconsin. >> caller: hey, jim. thanks for taking my call. i'm an investment club member. i'm interested in your thoughts on ticker ztf. >> i think chris beck does an amazing job. i think the stock is undervalued. it's come down quite a bit animal health. the one that people like i think they should. it's got the best growth profile. and i think the stock is down 40% and it's a buy there you go i want to take another just because i'm kind of feeling the vibe of the investment club and it's good. let's go to stewart in new york.

stewart. >> caller: hey, jim. how are you doing? >> all right, stewart. how are you? >> caller: okay. what a good day for energy looking great again. ready to break out and my stock is antero mid-stream >> ooh, i like antero mid-stream of course the investment club is overweighted in energy so i'm happy today and i think your antero is terrific and, that ladies and gentlemen, is the conclusion of the "lightning round"! >> announcer: "lightning round" is sponsored by td ameritrade. coming up huddle up and find out how there can be so much recession chat to go with high employment cramer unravels that mystery, next

how can we have a recession when we also have the lowest unemployment rate since the '60s if anything, jobs would be even more plentiful now than they were back in the day because we've got 10 million unfilled positions. maybe that's why the president says we could have a very slight recession with a 3.5% unemployment rate he's got to be thinking how harsh can it be to me that is dead wrong because how harsh could it be is not a rhetorical question.

it could be as harsh as the fed wants it to be and right now the fed's eager to bring the pain in order to stamp out inflation. and to them today's rebound meant nothing except maybe they need to slam the brakes on even harder >> the house of pain >> first, though, let me say that i hate coming on this show and talking about politics i just hate it i would love it if i could just stick to the stock market. but sometimes washington is impossible to ignore and that's like it is right now. right now we have rampant inflation yet the federal government has authorized trillions of dollars in spending on top of the regular budget in a vacuum i personally think there's a lot of good stuff in these spending bills it would be great if we had high unemployment but we already have massive labor shortages in this country and it's only going to be made worse by all these new public sector jobs. we don't have enough people to fill them. it's just arithmetic, mr. president. unfortunately, the biden administration has put the

federal reserve in a position where they basically are at war with our elected officials jay powell has to create a new pool of unemployed workers who can be used to fill the positions spawned by the infrastructure bill and the ridiculously named inflation reduction act. we basically have to fire peter to hire paul or maybe even fire peter to hire peter. it might be at a lower wage. in the end because it takes the federal government ages to do anything i have no doubt that the federal reserve will succeed in getting people fired faster than washington can get them hired. but this is all so much more frustrating than it needs to be because the federal reserve really does have to take its cue from cleveland fed president loretta mester, who wants to raise interest rates relentlessly even as the unemployment rate starts to climb higher she recognizes that only a ruthless series of rate hikes can break the back of wage inflation in this environment. particularly when the federal government's behind it that's why the sifrp's more precarious than usual. if the federal government hadn't injected so much stimulus and if the federal reserve had gotten

tighter earlier on we wouldn't be in this jam now jay powell has to destroy at least one job for every new job biden wants to create. because we have way too many jobs and too few people. it is a real conundrum the federal government's never going to take back money it's allocated for these projects intel can fire 20% of its workforce and that doesn't mean the feds are going to pull its subsidies away to build new facilities in ohio it never works like that but to me i don't see how we end up with only a very slight recession unless the federal government cuts back on spending either by rolling back subsidies or stretching things out so they take a long time to hit and give the fed some breathing room. in the end we'll get a severe recession as we need to stamp out inflation. that's what this is all about. some of this is a global phenomenon that's beyond everyone's control europe's got terrible inflation too. but a lot of it's within the control of the president and his party. if they want a slight recession, they have to cut back on spending because spending promotes inflation and more inflation means more

devastating rate hikes for the federal reserve. without that it's going to be a real slog. the coming recession might seem slight if you keep your job, but it will be harsh if you don't. i like to say there's always a bull market somewhere and i promise to try to find it just for you right here on "mad money. i'm jim cramer see you tomorrow "the news" with shepard smith starts now. you tomorrow "the news with shepard smith" starts right now breaking news and a live look raleigh, north carolina. an active shooter alert. reports of a man in camouflage shooting multiple people and our local station reports there are multiple fatalities. a cop among those shot plus the committee of congress investigating the insurrection at the capitol votes to subpoena former president trump to testify under oath i'm shepard smith. this is "the news" on cnbc >> the central cause of january 6th was one