this was a capitulation at least near term. >> guy >> wonderful to have you back. >> great to be back. >> seriously you are our sergeant hulk as we mentioned a couple of times. amgen, me ls. >> all right thanks for 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 trying to help you make money my job is not just to entertain but teach you. call me or tweet me @jimcramer i am sick and tired of being told earnings are weak this season especially if the dow

surged 1.9% and the nasdaq pole vaulted 4.86%. we constantly hear we had a few mix and beats at the same time previous years, it doesn't mean anything stop listening to it we don't care if we're trying to buy stocks and invest. we care about the results from companies that are big enough to matter and so far, the numbers from these, let's just say they're spectacular. why don't we do this let's take them day by day for instance, the biggest report last monday is none other than bank of america. the gigantic company with amazing deposits these guys are practically coining money. taking your deposits and then investing them in high yielding but risk free u.s. treasuries. they're a huge winner from the fed's aggressive rate hikes. normally, the banks suffer from rate hikes because of borrowers

with debt who start defaulting but default rates are low. bank of america embraced technology that makes newly created fintech companies. the ceo emerged in the era the stock could go much, much higherand still be very cheap. then, tuesday, j&j, johnson & johnson reported and the stock got annihilated. just crushed but only because management didn't go into enough detail about their upcoming spinoff, the consumer products division is growing faster than peers and j&j med tech is growing faster than anyone is looking for but analysts say it isn't that fast. those are wrong. this was a great quarter and the stock made up all of the losses and i think it's going much, much higher. rather than focussing on the numbers we have to watch something like j&j, gigantic off

to the races while people have the stock, there was a later wave of buyers that show it was indeed a real winner and by the way, if you think the fed will pause its rate hikes, you'll get a decline in the dollar that would be amazing news for the company's bottom line. j&j is a big winner and masked as a small loser it drove me crazy. goldman sachs, all right, goldman sachs was supposed to be doing terribly because there is so little bond or stock issue, that means both invest ment banking and trading had to have been weak, right same for the lucrative mna business as there aren't any big deals. if you go back in time and watch my interview with ceo david solomon from not that long ago, he said they took cost down and wealth management group was strong enough to generate tremendous earnings power. nailed it. and then there is lockheed ma martin

be careful with lockheed martin. the numbers were amazing the stock has been going straight up as short sellers are scrambling to cover, bringing in bad bets netflix gave us the single best quarter of the earnings season gigantic beat with an extraordinary upbeat outlook i never seen management at this company as bullish as they were. i know the quality of the program and lined up and done enough on the ad supported tier to know it will be a home run. i would buy netflix right now aggressively that's how great i think this quarter was. wednesday we got another one that is misunderstood making moves and that's proctor and gamble this was a thing of beauty people haven't studied it. i've been around following proctor and gamble forever

they got hit by cost and a tiny amount of trade. the analyst focused on the small amount of trade and what will happen when the dollar goes down and raw cost from headwinds to tail tailwinds. k not saying they're idiots, i think proctor had itself up for a gigantic surprise going forward and made that clear yet, nobody really paid atense -- attention. it was kpas bewas kpas per rati. ibm. they got it working so many bears try to knit pick but few knits to pick. it impressed me to see the hoops critics jump through they're wrong, stocks go higher, i know tesla is doing bad.

they make a fortune on every car they can sell thanks to the highly efficient non-union work force. the news worries me but the quarter was good there is att this may be one of the worst stocks in the market that quarter, that quarter was a thing of beauty. much better than expected. i think the stocks bottom because att is beating the pants off verizon. it's honestly amazing how quickly they got the mojo back in every category. the stock is still cheap and has room to run. on thursday, we were all focused on social media also in snap, which turned out to be a little more really honestly a little more than a messaging system for kids with a morning junked up news section nobody can read i can't believe it got more attention with the ladder not mentioned in the acquisition in

the equation alphabet was not announced wait a second, maybe some of this is going to alphabet. it is. now, it's only 23 million but tractor supply we got to talk about. the only big retailer of the week was monumental and the stock hasn't stopped going up. i mentioned this one because people initially viewed the quarter as a disappointment. still one more reason to distrust these accounts of upside and downside surprises. this thing was absolutely put in the you got to throw it away right now category and look at it here comes -- and here is one that's incredible and people yawned csx. i listened to john and he told a story of excellent cargo line after excellent cargo line the railroad experience would hurt the business they said. i thought the questions were embarrassing i don't care what matters is they have a

gigantic surprise from the major rail road. should have made a huge splash everyone was busy getting to the bottom of splash which was a $13 million company for haven's sake that doesn't make sense. friday, we get an amazing quarter from slb, the company former known as schlumberger the number one oil service in the world. amazing bellwether for the entire industry. slb gave you a monster beat. they have a clear path coming off seven years of under investment in oil service. they changed their name to slb, that's fine. it's for environmental -- to point out how much more environmental they are then american express is one of the most exasperated most understood businesses and quarters i've come across. american express is in the strongest shape i can recall and the growth is off the charts they need to up the long provisions that's what happens.

everyone is freaked out by that provision but the company is firing on all cylinders. the number wasn't particularly bad. it was embarrassing how people sold amex in response to a true upside surprise. i could have picked ten more winners, didn't mention the airlines they were great. these were telegraphed and greatness was well-known i didn't bother with any of the smaller banks, yet, they were terrific, too. the bottom line, the take away from the ones we're really looking for, the companies really important, listen to me, the real take away is earnings are sharply better than expected and that not just the idea that the fed might pause the rate hikes after some meeting which would drive the markets new found strength the earnings are real good the surveys they tell you otherwise are pure misdirection plays. let's go to dillon in georgia, dillon >> caller: hey, jim. how are you doing? >> jimmy chill is doing fine how about you?

>> caller: i'm doing all right the stock i'm calling about today is devon energy. >> okay. yeah >> caller: i was wondering do you think it will continue to rise after the recession due to a cyclical factor. >> devon is a big holding for the charitable trust you can find out more if you're members of our investing club and devon is one of the best companies in the world it is not going to be hurt by that it's doing a terrific job and a stock worth holding. the important earnings are doing better than expected and that's a large part of the market's new found strength on "mad money" tonight activist firm starboard value had a very busy week last week setting sights on four new companies u. what should we make of the latest move? i'm digging into the details. a strong dollar held bad news for stocks but are there

signs the dollar could be peaking? i'm going off the charts to find out in a very controversial view. last week we got a call on iron mountain during the lightning round and said we need to do a deeper dive so don't we're doing that and sharing all you need to know so 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 email to madmoney@cnbc.com or give us a call at 1-800-743-cnbc miss something head to madmoney.cnbc.com.

vo: ferrari knows racing. palantir knows data. bonded by engineering excellence. palantir. data driven enterprise accelerator.

millions have made the switch from the big three to the best kept secret in wireless: xfinity mobile. that means millions are saving hundreds a year with the fastest mobile service. and now, introducing, the best price for two lines of unlimited. just $30 per line. there are millions of happy campers out there. and this is the perfect time to join them... see how easy it is to save hundreds a year on your wireless bill over t-mobile, verizon, and at&t. talk to our switch squad at your local xfinity store today.

as high tech gotten so cheap

that big name activist if i weres were finally coming out of the wood work to look at them? starboard value a very successful activist hedge fund run by jeff smith publicly discussed stakes in four different companies. get this, ricks splunk and salesforce.com now, we've been following each of these for a long time they're high quality businesses but stocks have been totally out of style in the wall street fashion show of late except for november of last year so you better believe it caught my attention when the head of starboard jeff smith sat down with david faber, my "squawk on the street" partner to talk about these positions and after taking the weekend to soak it in, what does it mean that a high profile activist firm is betting big on so many cloud plays? remember, cloud is always thought to be fast growing but expensive. why are the starboard guys sticking on their necks out like

this the cloud stocks have been non-stop disasters for almost a year when gives them the confidence to take a risk with these four stocks starboard is simple. for years investors in the cloud space care about revenue growth, which is less than ideal for salesforce, wix and splunk when the fed declared war, wall street turned against revenue growth stories we're in a high inflation rising interest rate environment where what investors care about is profitability. plus, growth across the industry is slowing anyway so the cloud plays need to become more profitable to offset the damage. there is something we've talked about a little complicated in the past and it's called the rule of 40 you take the revenue growth and then add the operating margin and if the sum is greater than 40, then your software is a service business is in good shape. the idea here is that you either need ultra fast growth or high profitability.

otherwise your stock is knot worth owning a lot of managers think like that this is the gospel what matters now is that wall street's pivoted to profitability and while all the cloud stocks have come down. starboard thinks salesforce, splunk and wix starboard likes these are high quality businesses with revenue and lots of opportunity for margin expansion as they finally focus on turning a profit rather than growing like crazy. plus, the valuation is now multi year lows, which is why they think it's the perfect time to buy. it's something that i've been saying but has cost my charitable trust a lot of money. a lot of people were burned calling the stocks including me and i wish we were much more negative on salesforce for the trust. there is a reason i take et sers -- it seriously i can remember what they did with box i've been liking salesforce since the mid single digits so

let's not abuse me too much. starboard is a position in box, back in september of 2019, after years of under performance, six months later they made a deal with box to put three new independent directors on the board and starboard launched a proxy contest which they only failed, however they got what they wanted because proxy fire lit the fire under management. the fight was vocal. specifically starboard wanted box to improve margins with the operating margins rising from 1% in 2019 to 20% last year in response the stock rallied from under $25 from starboard getting involved -- i'm sorry, under $15 from starboard got involved to 33 that's right, the stock went from 15 to 33 and the highs this april and pulled back from $28 as of today. not with the rest of the group but look at this move. this is them okay this is them how terrific is that that's starboard making noise.

i love it. it's still up 7% for the year, though, it's insanely strong compared to the rest of the cloud and now starboard wants wix, sealesforce and splunk to o the same thing wix saw this huge surge because every local biusiness had to build out. we did it with san miguel. simple to use. these guys invested heavily to support the growth which is why wix returned to unprofitability after years of making money. now the growth stalled again post covid, the stock is just obliterated but starboard thinks they can get margins back up by cutting marketing spending and laying off markers this is where this thing is a horse. we used it just so you know to make menus because it's very easy to constantly redo when you're using wix products and it's very inexpensive. to take steps in the right dire direction, the activists said it can go further my view, wix is beloved by small

business customers including me but i worry this is an increasingly clouded field up against square space, go daddy, the big guy adobe and shopify. could be an uphill battle. starboard makes a pretty compelling case. next is splunk which helps companies make sense of machine generated data these guys have been transitioning to a cloud based business model for years it's taking too long it hasn't been a smooth ride although, things definitely got better since gary steel took over as ceo. he's a familiar face starboard likes spunk. more than 95 companies use the software however they also point out splunk is plagued by poor exec execution. they translate to much higher earnings boy, do i like this call more important, starboard has also floated the idea of pushing to sell. agree.

gary steel used to own it. we even heard some cisco earlier this year consider me intrigued although i would not say cisco is interested in it now. then there say big one, salesforce the king of the cloud. when jeff smith spoke to david faber last week, he never thought he'd get a good-bying opportunity until the stock pulled back 55% from the highs this is just horrendous for my charitable trust even though we had it like this for the longest time so you get the point. at these levels, the stock now trades at a substantial discount to its peers starboard argues because salesforce revenue growth has indeed slowed and haven't generated enough profitability to generate the damage, i think the co-ceo is on the case here that's what makes me so excited about this the numbers in recent years are distorted by big accusations like tabloid data and slack, which makes huge sense long term because they give customers more

functi functionality. i think salesforce is actually too big for an activist to have that much impact but i'm happy to bet alongside starboard here. by the way, marc benioff is, too. he likes these guys. how can you not? they come in with ideas. finally, little one, got to talk about ve rrvertiv. a supplier to the data it doesn't fit into the cloud software theme give me a break. trying to be wholistic i bring it up because we followed it for a long time. this is an old school spac story led by the former ceo of honeywell and other people and they wanted to create picks and shovels for the data centers unfortunately, vertiv was just wrecked by supply chain problems already late last year the stock is e obliterated.

stock is a disaster. the global economy is slowing and much more pressure on the supply chain can it make a comeback starboard is betting they can win big by focussing on profitability. you know what? i think they're dead right i really do. in my view, cody doesn't need starboard to turn this around. he'll do it himself. i think he started it. it's good to have their support. we seen them do a lot of good things when they're involved here is the bottom line, i trust starboard's judgment and if you take a look at these again, there is no need to chase any of them it means salesforce was up big last week. splunk, wix roared given the potential ugliness when it plummets, i bet you get more chances to buy them into weakness but you know what with the possible exception of wix because it does have a small business problem, i like every one of them. "mad money" is back after the break.

>> announcer: coming up, in for a dime today cramer is in for a dollar. the usd off the charts, next michael is back. and he's more dangerous. maybe the only way he can die... is if i die too. [ screaming ]

at adp, we understand business today looks nothing like it did yesterday. while it's more unpredictable, its possibilities are endless. from paying your people from anywhere to supporting your talent everywhere, we use data driven insights to design hr solutions and services to help businesses of all size work smarter today. so, they can have more success tomorrow. ♪ one thing leads to another ♪

if there is one ftake away, we're completely hostage to the insane dollar. so many companies reported numbers that would be fantastic. they haven't been weighed down i know a strong currency sounds like a good thing and is if you're buying from overseas but the kiss of death for any american company that does business overseas. both because it makes their goods more expensive and because the exchange rate means foreign earnings translate into fewer green backs. inflation worldwide, investors are parking in u.s. treasuries

to do that, they need to exchange for dollars, which is why the dollar keeps getting stronger don't we're going off the charts with a brilliant technician, the co-founder of the quality trading and the co-founder of high probability trading to get a better read what is happening with our currency and i love this piece garner points out whenever you speculate stocks or bonds orca mo -- commodities, you're trading in u.s. dollars. it measures the green back settles in the opposite direction of the major averages, roughly 90% of the time. that's incredible. same goes for ten-year treasuries that's the treasury futures. if anything, that cis too extreme. not, this is important for you at home, the fundamentals but for whatever reason, we can't deny the dollar is in the driver's seat.

look at this chart showing the dollar index future in green and the s&p 500 futures in red each price part represents six hours of action. garner points out they're practically mirror images of each other the s&p goes down, dollar goes up this is really important this is it look at this every time ever since slide they had an absurdly strong negative correlation. stocks rallied in august and the dollar started picking up and stocks collapsed you can see it over and over, every time the dollar picks up steam, the s&p gets slammed. every time the dollar pulls back like last week, the s&p shows signs of light you can see the exact kind of correlation between the dollar index and futures and the copper futures. the correlation is so strong it's like synchronized swimmers. copper prices the dollars. lately, garner thinks it is, come on, admit it, you have sometimes the charges are

incredible garner nsays performance like th green backs, let get to bonds. check out the daily chart of ten-year treasury note in purple versus the dollar in green when the dollar surged in august, it created a one direction environment in treasuries where prices go lower and yields go lower garner notes that only the brief pause of the dollar rallied last month and that's right here, see the green? that pause gave the tender relief but that turned out to be a head fake or temporary depending upon how you feel about these. so if the dollar keeps running, she thinks we're in for a world of pain but can it keep running? that's the point of the piece. according to bloomberg, the most overcrowded trade are people going long with the dollar and long crude oil whether that's without speculation or hedging, garner says both oil and the dollar have been overcrowded since russia invaded ukraine but one is not like the other. oil peaked at 130 a barrel over

the summer and now pulled back to the mid 80s something by the way, garner called in advance on the show, on the show, you got that call to sell the oil. she was adamant the ukrainian spike in crude would be temporary when many other felt it was just a weigh station 0 go higher the dollar on the other hinge keeps chugging it's the one asset to revert everything else, stocks, commodity, bonds have all swung back this year as garner sees it, the green back is the last holdout and doesn't think it will last. so check out the weekly chart of the dollar index going back five years. garner points out historically the dollar is known to make dramatic tops, look at that blowoff, will ya the last three peeks follow a trend line that dates back to 2017 and the dollar is just under that trend line right now. it's the ceiling of resistance, okay garner has been watching this level at this 13 -- $113.40 as a potential area of reversal

thus far, the dollar hasn't been able to close above that level right here this is it as long as it can't breakthrough the ceiling, garner thinks the dollar will become increasingly susceptible to gravity they accepted the same fate to a more natural level, one that's a lot lower. currently the dollar is 112 and 105 on the downside, which represents the weekly trend line excludeing the spike in march of 2020 when covid first hit. longer term you can see the dollar index sinking all the way back to 97 where it was trading before russia invaded ukraine in february that would be spectacular for stocks at the same time garner sees a relative strength index or rsi down to the bottom this is really important this is an important momentum oscillator that helps identify when price moves have gotten over extended. when they are extremely hiked like they are now, then that makes lower highs as the underlying asset keeps climbing,

that's called a diverdiversion. it's what we're looking at with the dollar index more often than not, this is a sign momentum is waning when the rsi gets over bought and starts to falter, there say good chance the underlying asset will get crushed. we have to watch the rsi, too. for example, the rsi for natural gas looked like this for awhile and swiftly lost 40% of the value again, a move called by garner why does this matter garner sees it if we have high inflation and high interest rates and political mturmoil, i the dollar can go higher, they should gain value. the big winners are internationally oriented companies like i talk about all the time including proctor and gamble and johnson & johnson and treasuries but also save us a bundle on commodities. here is the bottom line, commodities are really jacking up the price of things a strong dollar around the neck

of an already beaten down market but the charts at last as inter pr -- interpreted suggestion the dollar could be peaking. i hope she's right a weaker dollar could be incredibly strong for almost every single stock i say we take calls. let's go to bill in virginia, bill >> caller: yes, sir, mr. cramer, how are you doing today? >> jimmy chill is doing well what are you up to >> caller: trying to make some money here with this down market and federal interest rate increases. just wondering about sofi for long term. >> i think sofi is bottoming this is how it starts. it's at five all the way up and we got the spac money out i did not like that. but i think sofi interesting bank building itself out is at the right level to buy now we're going to tyler in california, tyler?

>> caller: big boo-yah from california how are you doing, jim >> jim is doing well how about you? >> caller: doing good, thank you for asking i'll make it quick. >> sure. >> caller: insiders and institutional banks buying up shares and the stock beating the last four earnings has a 4.38% dividend yield i would like to know what you think of especially with the cost of food going up how this affects a stock like khc. >> okay. kraft heinz is a terrible company but its stock reflects an even horrible -- more horrible company so the stock is too cheap versus what is a not great company and you know what? sometimes we can make money like that you never know i think you can with that one. the dollar strength is hitting the market hard including some of my favorites like proctor, j&j but the chart suggestions it could be peaking and a weaker dollar would be a gigantic positive for stocks for companies that have to buy

commodities and would be great for the translation, man, she's right. this market is going to sore much more "mad money" ahead. could iron mountain bring strong gains? i'll take a closer look at the stock. give me my take and should watching the early morning futures be a part of your investing strategy or could it spew you in the wrong direction? i'm digging in the action the last 24 hours and giving you the best way to navigate the early morning movements and all your calls in rapid fire in tonight's edition of the lightning round so stay with cramer.

power e*trade's award-winning trading app makes trading easier. with its customizable options chain, easy-to-use tools, and paper trading to help sharpen your skills, you can stay on top of the market from wherever you are.

power e*trade's easy-to-use tools make complex trading less complicated. custom scans help you find new trading opportunities. while an earnings tool helps you plan your trades and stay on top of the market.

during the lightning round last friday we got a could from hutch in arizona who wanted to know about iron mountain that's a specialized real estate

investment trust that earns security spaces for paper documents and highly fortified areas. i resisted asking where his buddy starsky was. i like it. it's a very good business. but like hutch, i also noticed iron mountain stock is hammered of late falling from the mid 50s to the mid 40s in a matter of days he wanted to know if there was any dramatic news behind the pull back that might change the story. i didn't just want to go off the cuff that's not what we do. i told him i'd go back let me explain what this company does the old iron mountain was a paper company when your cabinets overflowed at the office, you called them and told them what to shred some are inside actually mountains, iron mountain that was a solid business when the irs let them convert into a

real estate investment trust in 2014 but it's also a boring business. one steadily declining as the world went digital, they came on paper when you can store everything in the darn cloud or on a hard drive? so seven odd years ago, iron mountain moved into the data center business with a series of acquisitions and started offering information storage services and paper management business still makes up the bulk of their revenue the company now has a powerful growth engine. the old iron mountain was an asset and take the cash thrown off by the paper division and invest in data centers they got 26 across 18 markets and moved into areas like life cycle management, which is basically a safe and secure way for companies to decommission. you can't just throw away old computers because there might be something sensitive on them. the pivot took several years to pull off and spent a lot of money in the process doing it

which meant lackluster earnings for a long period of time. last year everything finally clicked. iron mountain's funds from operation, the earnings grew by 14% year over year and stock rallied more than 77%. some of that is from the earnings breakout and some of it because they are burning a new thesis and more of a tech play we like that the stocks have a pretty darn well versus the rest of the market boy, the market has been bad they ran to 58 and change in april and pulled back to the spring and summer and a big breakdown last month going for the mid 50s and mid 40s in a matter of days before climbing back to the high 40s how do you explain the breakdown? i think there is two parts to this story from a big picture prospective real estate with 5.2% dividend yield. terrific in recent months dividend stocks have been under pressure because they got very meaningful

competition from the bond market iron mountain 5.2% yield looks less attractive when you got 4.5% risk free from two-year treasuries that's up from 3.45 by the way at the end of august every time bond yields go up, iron mountain becomes less attractive that's just the contest. more important in the case of iron mountain they held an investor club where they unveiled the strategy and rolled out long-term targets for 2025 and want to get to $7.3 billion in revenue from 4.5 billion last year and won 1.5 billion in funds from operations up from 1 billion last year. we're talking about an 8% compound annual growth rate even though the stocks sold off hard in response, none of those financial targets i think are problematic but what freaked people out is that iron mountain is planning to deploy $4 billion in growth capital exfrom 2023 to

2026 and gave investors flash backs where iron mountain spent a fortune with the data center business with funds from operations and those were capped keep in mind, we're in an environment wall street loves proof itfitability and hates spending we believe some investors were skiddish about the ability to fund $4 billion in growth oriented cap over the next four years while increasing the dividend without issuing equity and staying within its targeted leverage ratio equity that always hurts. so in the end, iron mountain got hit because they're planning to spend a lot of money to go to the data center business that's a mistake that it got hurt we're already seeing what happens after big investment cycles they spent a fortune from 2016 to 2014. bottom line, iron mountain earned our trust and their secured data center business is ax lutea

absolutely worth investing and trades 14 times next year's funds of operations with a bountiful yield and i think the buy back is an opportunity "mad money" is 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 lily! welcome to our third bark-ery. oh, i can tell business is going through the “woof”. but seriously we need a reliable way to help keep everyone connected from wherever we go. well at at&t we'll help you find the right wireless plan for you. so, you can stay connected to all your drivers and stores on america's most reliable 5g network. that sounds just paw-fect. terrier-iffic i labra-dore you round of a-paws

at&t 5g is fast, reliable and secure for your business. - [narrator] if your business kept on employees through the pandemic, at&t 5g is fast, getrefunds.com can qualify you for a payroll tax refund of up to $26,000 per employee, even if you got ppp. and all it takes is eight minutes to find out. then we'll work with you to fill out your forms and submit the application. that easy. getrefunds.com has helped businesses like yours claim over $1 billion in payroll tax refunds. but it's only available for a limited time.

go to getrefunds.com powered by innovation refunds.

vo: palantir software. empowers scuderia ferrari to make critical decisions a split second faster. palantir. data driven enterprise accelerator. ♪♪ age before beauty? why not both? visibly diminish wrinkled skin in just two days. new crepe corrector lotion only from gold bond. champion your skin. >> announcer: lightening round is sponsored by t.d. ameritrade. >> jim cramer, the diehard of the dollar. >> jimmy, love the show. >> my 5-year-old grandson loves to watch your show. >> i have to thank you for making us money when it's there to be made. >> our world is a better place

with you in it ♪ ♪ ♪ ♪ it is time, time for the li lightning round, play this sound and the lightening round is over are you ready ski daddy? let's start with kenneth in least, kenneth >> caller: yes, sir. thank you very much. i appreciate the opportunity i am a new viewer and first time caller i wanted to ask about iep. >> all right this is a natural. you think it absolutely is going to be a winner with a 14% yield. i will not recommend stocks that i don't know what is in -- it's just starting the show, i don't know what's in that fund, i can't recommend it paul in new jersey, paul >> caller: boo-yah, jim. >> boo-yah.

>> caller: a two-time caller and club member. >> thank you for being a member of the club. we love the club how can i help >> caller: love the club k constellation energy, still good >> it is still good because it's the cleanest form of energy and many funds want to be in that kind of stock. now we'll go to andy in california, andy >> caller: jim, i hope you are well today. >> i am struggling because oh my god, i've been on the road a lot. i'm doing well how about you? >> caller: doing just great here. >> good. >> caller: retirement count with a five to seven year holding period at least and question is when the market comes back in a little bit and understanding what i was buying more when the fed crunches things even further, what are your thoughts on starting a position in alexandria real estate ticker -- >> not good enough not good enough. they will hear that and say jim, give us a chance i have

i have studied it. it's not good enough other companies are bet we are a higher yield and better growth perspective. i just don't want you to buy that one i don't think it's done a good enough job tom in kentucky, tom >> caller: yes, boo-yah. >> boo-yah, tom. what's up? >> caller: love your show. been watching it for years. >> thank you. >> caller: i want to know what you thought about nycb. >> not worth reaching. north worth reaching for the 7.7% yield we like a little growth. i have to tell you i know that the stock -- i'd rather see you in one that should not be where it is that yields are very good part and that's morgan stanley they did a better job than people realize and that's a buy. club members know i feel this way. one more let's go to dale montana, dale >> caller: hey, jim. >> yeah. >> caller: walgreens food alliance. >> i spent time with a gentleman that's a high level at the company during my wife's

time to reopen the books and look at what they are doing because i think it might be time to pull the trigger and that, ladies and gentlemen is the conclusion of the lightning round. >> announcer: the lightning round is sponsored by t.d. ameritrade coming up, this market needs a palm reader like a hedge fund needs a tax break. the future is bright but the future is to those who can turn the other cheek, stick with cramer

vo: ferrari knows racing. palantir knows data. bonded by engineering excellence. palantir. data driven enterprise accelerator.

listen to me pay no attention to the s&p futures in the morning they will often fool you into making sloppy decisions from the rest of the day. consider the secrets from the

last 24 hours. futures were up nicely by 7:00 p.m. because we were told the market had a carryover from friday's terrific rally. made no sense but an explanation. many woke up this morning at 4:00 a.m the futures are down big why? china is disposing of the rotors, meaning anyone not on board with the hard line president xi backing of the old style communism but sometime between 6:00 and 7:30 a.m., we got to slowly build the futures with everyone scrambling for an excuse to justify the straight, none provided to satisfaction because commentators were looking for a big picture explanation rather than individual stocks. as futures kept going up, people figured there had to be something happening, maybe a fed pivot away from raising rates or pause after next week's meeting because they don't want to impact the election. the presumption here was there had to be big picture good news or else the futures wouldn't be running.

meanwhile, i'm always doing work each morning developing a note internal recalled what i am looking at that's a memo for our on air anchors and producers. i now share the memo with you investing club members if you looked at it, you'd know the futures rally is out of whack with what you're hearing from research firms. tesla just revealed they're cutting prices in china, something that's devastating given the fact they just reported anything happens to a $600 billion company will impact the future then there is the semis. they have been hit with gigantic downgrades holy cow incredibly important call because the semis blanket the nasdaq not only were these downgrades we saw incredibly price target cuts and of course, the gigantic chinese stocks like alibaba because president xi is no friend of the stock market american company is a big business in china. by the way, please don't believe

anything people that say buy china. they come on air including major firms and write for 48 sepconds and then you get burned. then a giant downgrade of meta platforms, the artist formally known as facebook the stock down 60% for the year thank you. this is high profile slashing with tunnels of negativity about reals, even the concept the metaverse is slowing throw in the kitchen sink at it. i take the other side of the trade. we own meta for the trust. i believe it's took over long term and can pull it off i know the next quarters will be terrible but so are the traders. actors calling for dramatic drastic cost cutting to create a leaner, meaner, meta the stock looked down because of how timid the spending was so many stories about apple, one more savage piece.

the pin action doesn't do that much damage. so what happens? almost immediately after the opening the s&p goes negative and nasdaq is crushed. w why? the futures don't matter once stocks took over, things were nasty the future is up high where the real battle plays out. here is the irony. once we started rolling over, there were buying opportunities galore including a great entry point into meta and the market quickly came roaring back. i told club members it's time to buy starbucks because relations with china will be fine but i don't think you have anything to learn from the action in the few turps themse -- futures themselves they mean nothing. they won't tell you how the stock market opens you can often go against the futures and make big money assuming you're nimble enough to trade. sometimes there is no good explanation and if you try to invent one, it will only lead you a stray. better to focus on individual stocks and let the futures take

them down to discounted prices so you can buy them at bargains. you got it when the market fell apart early morning. i like to say there is always a bull market somewhere. i promise to try and find it here for you on "mad money.""th starts now what the survivors are saying about the gunman in their high school this morning. i am shepard smith, this is the news on cnbc. three dead, seven injured after a school shooting in st. louis. >> i started hearing glass breaking. >> reporter: the immediate police response and what they found. >> our children had should not have to experience this. the new report on learning setbacks. the math and reading scores that show historic declis.