Mad Money host Jim Cramer talks the current consumer conundrum plaguing Wall Street right now
CNBC's Jim Cramer on Monday said panicked buying drove Wall Street to record levels as institutional investors
CNBC's Jim Cramer on Monday explained Wall Street's prevailing market worries but explained why there's still room for a short-term rally
Mad Money host Jim Cramer said Monday the stock market is dealing with a "consumer conundrum" that has left Wall Street investors puzzled. Companies like PepsiCo, Coca-Cola, and Procter & Gamble have all reported strong earnings in recent weeks, but their stocks have been punished by investors worried about the impact of inflation on consumers.
"The consumer is in a conundrum," Cramer said. "They're getting paid more, but they're also paying more for everything. So they're not sure how to spend their money." Cramer said this uncertainty is causing investors to be cautious about buying stocks, even those of companies that are reporting strong earnings.
"I think the market is going to be range-bound for a while," Cramer said. "We're going to see some up days and some down days, but I don't think we're going to see any big moves in either direction until we get more clarity on the consumer." Cramer said investors should focus on companies that are able to pass on rising costs to consumers, such as energy companies and consumer staples companies. He also said investors should look for companies that are innovating and growing their market share.
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