Positive signs appearing all around

As the market shows resilience, researchers are seeing upside and spreading the word.

By Jim Cramer Nov 21, 2012 10:06AM

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Photographers Choice RF SuperStockWhat a terrific test of the bulls. They survived a French downgrade. They survived a hideous loss and scandal at Hewlett-Packard (HPQ). They triumphed over an amazingly weak quarter at Best Buy (BBBY). And best of all, they beat back a huge, futures-led decline after Federal Reserve Chairman Ben Bernanke said the obvious, that he couldn't revive an economy that drives over a fiscal cliff.

 

How were we able to rally so effectively? Simple: First, the potential cease-fire in the Middle East removed an oil overhang that can always kill any rally in its tracks. Second, we are now getting a picture of a U.S. economy that's stronger -- not weaker -- than expected, largely because of the resurgent housing market.

 

Further, we are actually getting a very interesting research moment. Every morning, I put together the relevant stories I want to cover. That includes a roundup of the important research notes.

Ever since this decline accelerated last week, the bulk of the analyst commentary has become positive, not negative. It is almost as if there is a pact among the analysts to stop bashing stocks and start looking at them through a more positive prism. It's a brand-new phenomenon, and I think it is really helping the market.

 

That, plus the recognition of China as a positive force of good, not a negative force of bad, something that Doug Kass believes in too.

 

When the bulls in research come out en masse, they can stem declines on their own. My question is, what happens if we get some genuinely good news about the cliff, or Europe or earnings, unmitigated terrific news? I think we'd go much higher.

 

Jim Cramer headshot

 

Jim Cramer is a co-founder of TheStreet and contributes daily market commentary to the financial news network's sites. Follow his trades for Action Alerts PLUS, which Cramer co-manages as a charitable trust has no positions in the stocks mentioned.

 

 


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112Comments
Nov 23, 2012 9:49AM
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Cramer says "buy ". I'm selling. He also said to buy Bear Sterns three days before they declared bankruptcy.
Nov 22, 2012 7:22PM
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 Boehner last remaks are for sure not a positive sign of this guy helping the economy!

We just herd Boehner wants to include the Obamacare for modifications in the discussion of the Fiscal Cliff. Now we know for sure he thinks he is the President of the USA since 2008, and President Obama is just a name in the political front. He insists in no tax increase for the rich, and emphatically suggests cuts for the entitlements programs. He obviously inherited the near by spirit of Ryan the liar, in the body of Boehner. If the president is not stern, tough, and demanding, and ready to clip Boehner wings one way or another, we will return to the old times that he obstructs the President, and all the Democrats in the House of Representatives that want to help America! Boehner is a plastic hero, telling them in the House Tea Party, and Republicans members led by Ryan; austerity is the only way out of this mess for our country. Boehner keeps falsely saying, “I will not hear of the tax cut for the rich any longer because they are the only ones to produce economic employment gains”. Mr. President, we are with you all the way. They have given us hell for four years, now we are fully behind you, give them hell for good, and for ever, the way we Americas wants it now! Let the 47% of our punished citizens take no more, let your people ride the Fiscal Cliff down together with you, and stop making the rich richer with the sweat of the middle class! It may be hard, and unpleasant, but they need to know, we, the whole country, we will not take it any longer you worthless morons, while the country goes broke because of you all!

Nov 22, 2012 6:48PM
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  What rose covered glasses are you using Jimbo?  Now I know it's time to short the s&p.
Nov 22, 2012 9:42AM
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Happy Thanksgiving from the North my Yank freinds.
Nov 22, 2012 9:32AM
Nov 22, 2012 1:25AM
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@prgprops:  California has a cumulative deficit of $380 billion.   Just look at their debt clock online.   They have a running one year deficit of $40 billion.  You don't know what you are talking about---much like the rest of your confused LIBERAL voters in that State.   And you have no one to blame buy your OWN DEMOCRATS who have been running your State INTO THE GROUND for decades.  You and them are gigantically CLUELESS liberals.
Nov 21, 2012 9:15PM
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    The bottom line is this:  Bernanke and the FED are basically blowing a new derivative market bubble with the  QE3 to infinity program.  This of course will lead to an inflation of the stock market and  further debasement of the dollar.   In the short term the stock market will go up;  However in the long term we are headed for a even greater stock market crash when the new derivative bubble bursts.   Cramer, as usual, has no idea what he is talking about.
Nov 21, 2012 5:44PM
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Don't even say "raid private pension funds" out loud.  It's too scary.

 

 

Nov 21, 2012 5:38PM
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“Researchers are seeing upside and spreading the word” Are these the same researchers who just gave HP the green light to buy Autonomy.  A 5 billion dollar mistake and the exec’s at HP didn’t catch it, the Audit team at Deloitte didn’t catch it, and the KPMG audit of the auditors didn’t catch it-SERIOUSLY.

 

The mess in the West continues, LIBOR, the Chase whale, and now Autonomy.

It appears Shakespeare is alive and still turning out tragic comedies.

 

Maybe these “Researchers” are like Moody’s, S&P, and Fitch who in 2008 gave AAA ratings to the mortgage securities brokerages were selling. Buy, Buy-Bye.

 

I like specifics, - who are these researchers exactly and what is the source of their optimism?

Nov 21, 2012 5:14PM
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Wow! Those 'researchers' sure know how to 'predict' great things when there's been massive layoffs, increasing debt (of all kinds), record US poverty levels, etc...Maybe it's because Obama wants to raid/loot private pension funds while continuing the unprecedented bailouts of the super-rich thieves who continue to loot the world. Ben will keep printing money to infinity, savers lose...let's all get on welfare and use our EBT cards to buy food at KFC or pay for a tatoo. Yeah, Obama let's his 'base' do that. Why not hide your money and suck on the public teat? You'd get much better returns than investing in the stock market.
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I have a very weak buy signal for both the the US general stock market and the oil service stocks.

Both signals are subject to false alarms as is any detector that is vulnerable to random noise.

Katrina was a killer.

Nov 21, 2012 3:24PM
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It's a Great Day.....To be Alive...
Nov 21, 2012 3:21PM
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Bears and Bulls are what makes a Market, you are correct...

Guess also, correct is that Liberals and Conservatives tend to Invest..at least in something ?

Ma's and Pa's, Widows and Orphans, Pension Funds and Gamblers, Manipulators&Scumbags.

 

Yup it can make a Market, an Economy and in essence our Great Country...

 

Think I hear a table calling our name, time to color down some money into chips...

Have a Great Day...And have a better Thanksgiving Day, best wishes..

Ciao.

Nov 21, 2012 3:21PM
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I predicted the dow would go to 14,000 by Christmas back in Sept.  This article seems to support my prediction so I like it.  After all what could be more important then being right on an internet discussion board?

Seriously negativity beguts negativity.  All this gloom and doom is based of if's.  If europe can't get its act together, if USA goes over the cliff.  How about what if the deals get done?  The markets will go up and it will be manipulators and speculators right, couldn't be any other reason. 

Nov 21, 2012 2:35PM
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Bears and Bulls both offer important actions and perspectives to make this a market.  Liberals trying now to demonize bears as the cause of their personal misery is sooo funny.  In order to have a market we need sellers and buyers, Bulls and Bears, up and down, ying and yang.  Some folks say yes some say no.  The bottom line all of us might recognize;  and one I'm presently thinking Liberals are struggling with is that one persons money and opinion is his to do with as he pleases. Keep your hands off of my pile was a 70's Pink Floyd line, kind of relevant  after this last election. The old school sales ploy to demean someone into buying is just that,  passe old school. Spend your own money, have your own opinion, and let others do the same?  And my opinion is folks on the Street NEED to always make money and they are more so inclined to paint a rosy picture so as to encourage folks to give them their money.  Is that negative?,does that make me a bear?
Nov 21, 2012 1:53PM
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Haven't seen much talk or press/comments about the Jews slaughtering Palestinians...But then again, genocide is genocide...Funny how we felt so different in different times....?
Nov 21, 2012 1:48PM
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You guys are making it VERY Difficult....For CGT1 to find us and give the Mid-Day Market reports on scumbags...

 

Just in case, here 'tis..... Looks like the GOOD GUYS (like me) are still in control...

Scumbags beaten up, laying on floor bloodied and crying..

Some Gold and Goldminers up...

Retail and Home Imp...looking okay...

Gaming looking good..

Tobacco and Oil.... in the Green.

More later.......  

Nov 21, 2012 1:44PM
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I would be very surprised if this attempt by the Bulls can gain any traction.  Markets need expansion  to rise and other than established routine suppliers I have a hard time imagining any "new" supplies of  money pouring onto the street.  These folks numbers are taking a hit like all of us. The old days of calling in a few lunch favors to prime the pump seem much harder to aquire.  I think we struggle to maintain this level and unfortunately the ratholing of monies we are beginning to see now even makes this a steeper climb.  RATHOLING or hording of money is the new fear for this market.  JMHO 
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