Market Meltdown: Cnbc Cramer: 'they're Nuts, They Know Nothing... This Is Armageddon!'

[tmorr37]

MARKET MELTDOWN: CNBC CRAMER: 'THEY'RE NUTS, THEY KNOW NOTHING... THIS IS ARMAGEDDON!' (http://www.youtube.com/watch?v=SWksEJQEYVU)

[tmorr37]

Cramer Responds: 'Why I Melted Down...' (http://www.thestreet.com/s/cramer-why-i-took-the-fed-to-task-on-stop-trading/video/cramermarketupdates/10372626.html)

[williambedloe]

MARKET MELTDOWN: CNBC CRAMER: 'THEY'RE NUTS, THEY KNOW NOTHING... THIS IS ARMAGEDDON!' (http://www.youtube.com/watch?v=SWksEJQEYVU)



Ummmm.....wow...any thoughts on how to ride out this market...??

[tmorr37]

Day 1 after Jim Cramer’s Friday ‘Armageddon' Call: Markets Up, Bonds OK

http://newsbusters.org/blogs/tom-blumer/2007/08/06/day-1-after-jim-cramer-s-friday-armageddon-call-markets-bonds-ok
By Tom Blumer | August 6, 2007 - 16:31 ET

The lesson from this post isn't bias as much as it is making sure not to get taken in by Old Media overreactions.

Jim Cramer of CNBC's "Mad Money" went mad on Friday, declaring Armageddon in this video rant on Friday (watch the whole thing to see just how out-of-control he was; his declaration is at 1:40 in the vid -- "in the fixed-income markets, we have Armageddon.").

The first trading day after Cramer's declaration of Aramageddon went thusly (from a CNN e-mail after the markets' 4PM close):

Dow sees biggest point gain of year in early tallies, closing 284 points higher on surging financial stocks, falling oil prices.

Here are results at nasdaq.com as of 4:11 --





Of course, one day does not a market make, but you would have thought the equity markets would have at least gone down, at least a little, to justify Cramer's meltdown. But instead, the stock indices posted very decent gains.

Oh, and how about the fixed-income markets? From MarketWatch (after the 3PM close of the bond market; link requires free registration):

The benchmark 10-year Treasury note lately closed down 11/32 at 98- 7/32 with a yield ..... of 4.735%.
The 30-year bond fell 19/32 to 97-17/32 with a yield ..... of 4.909%.
The 2-year note ended off 4/32 at 100-8/32 with a yield of 4.500%.


These are hardly ginormous, let alone calamitous, changes.

While your truly is in no way predicting the future direction of the markets, many of those who liquidated holdings earlier today as a result of Cramer's rant might have experienced a bit of seller's remorse at the close.

[williambedloe]

The Real Estate Bubble is real...American Home Mortgage just declared bankruptcy:

http://biz.yahoo.com/ap/070806/american_home_bankruptcy.html?.v=23

[DinarInANutHouse]

This is what happens when creditors overextends. Now they are paying the price, not only themselves but to citizens and to the U.S. economy.

Heck, if credit card industry gives credit to illegal immigrants, that is so wrong and they've got only themselves to blame.

The economy is going down the crapper.

[RotaryRevn]

The Real Estate Bubble is real...American Home Mortgage just declared bankruptcy:

http://biz.yahoo.com/ap/070806/american_home_bankruptcy.html?.v=23


Oh yeah it's real alright.

http://www.thehousingbubbleblog.com

[williambedloe]

Oh yeah it's real alright.

http://www.thehousingbubbleblog.com

My wife and I were looking at buying a new home...they tried to get us to sign up for a bridge loan - we said no way...we knew folks in the area that moved into a new home before selling their current home, and the home never sold - it's been a year, and it is still on the market...not good...we also knew others that borrowed against the equity in their homes, only to have the homes fall in value...one couple bought a town home across from ours for 600K USD - had it appraised for 630K - borrowed to make some improvements - when they wanted to sell, they had to knock the asking price down to 540K - they built so many homes in that area, people were in competition not just with each other, but with builders who were offering incredible deals (free finished basement and appliance upgrades)

[irons]

When we re-financed our house from 7.2% interest to 4.9% the bank kept trying to "give" us 20,000. in cash.Just sign here.
we told them firmly, twice, no way.
I can see where folks get into trouble.

[cowpoke]

When we re-financed our house from 7.2% interest to 4.9% the bank kept trying to "give" us 20,000. in cash.Just sign here.
we told them firmly, twice, no way.
I can see where folks get into trouble.

I would have gladly taken 20 GS for 4.9.

This invested in the ISX 5 months ago would have netted a sweet 6000 Dollars return in 5 months WOW, think about it.:huge:

[irons]

I would have gladly taken 20 GS for 4.9.

This invested in the ISX 5 months ago would have netted a sweet 6000 Dollars return in 5 months WOW, think about it.:huge:
You cannot be serious, that would be gambleing with debt.
If I want to gamble I buy dinars or go to a casino with pocket jingle.:wave:

[crabman]

The real estate market is going down. In Florida, with the inflated costs of insurance, it has gone up distressingly high, property taxes also have taken hikes, then along with the fact the property values have taken a tumble it has been a recipe for disaster. Florida is leading the nation in foreclosures and are just going up.. The banks cannot afford this nor can the lenders due to the fact they cannot absorb the losses. It will eventually right itself, however in the mean time it will only get worse without intervention.

[44special]

The real estate market is going down. In Florida, with the inflated costs of insurance, it has gone up distressingly high, property taxes also have taken hikes, then along with the fact the property values have taken a tumble it has been a recipe for disaster. Florida is leading the nation in foreclosures and are just going up.. The banks cannot afford this nor can the lenders due to the fact they cannot absorb the losses. It will eventually right itself, however in the mean time it will only get worse without intervention.

....And thus we have "the buyers market". You want to make money??? "Buy Mortemor, Buy" Excerpt from the movie "Trading Places" but holds true in the real estate market right now in many states. 44

[Integrity]

Talking from a Builders respective here in So. Calif. The bottom hasn't hit yet, however were beginning to feel this awe full familiar sucking sound. Just 2 yrs ago. major builders stopped the practice of building 10 homes at once, restocking of material for the next phase while the first stage was still being framed out.

I've been blessed having the work load, IM actually letting jobs go, but my phone rings everyday with those seeking work, I also have architects now calling me for leads. For those who don't know, It's suppose to be me calling around not the other way around.

All of my suppliers have said that business has dropped more than 50%

My Father-in law who has been a multi million dollar seller for 10 yrs in a row in the real estate sector hasn't had a sale in 9 months & I just helped him move out of the "BANKS" home.

Unfortunately what the Mortgage Brokers are finding out, Many,thousands! of group investors, because the fad to flip are the main reasons why there are so many defaults. Too many, illegally fooled the Mortgage banking industry submitting 5-10 loans on the same individual. Market drops, BAM who gets stuck with all those loans?

Anyone ever hear the word "Bankruptcy" ?
The dommono has fallen, Lets see how the "future administration" will fix it. In the meantime, IM buying gold and quickly getting out of debit. It's going to be rough soon.

[irons]

We started shedding all debt about 2 years ago and just finished that up by paying off this house.
With the money saved we are remodeling.I have always hated payments and now there none!:happy64:

[OILMAN]

thank god.............since 1998 i got
ripped off by a builder who cost me additional
additional tens and tens of thousands of dollars
yeah he went jail...so what>.........
cant get blood out of turnip....
my mental abuse was not worth it........
never never never again...........................
NO DEBT!!!!!!!!!!!!!!!!!!:p
yeah i got the evil eye today....GRRRRRRR.......

[jram_00]

I don't know what the hell he was saying, but it sounded GREAT!!!!! Damn Feds, they always screw things up.
Armageddon begins in Wall Street.

BTW, tell your Congressman/Congresswoman to support bill H.R. 1009.:p

[zimbu]

American Home Mortgage Investment Corp. filed for bankruptcy protection on Monday, the latest casualty of a mortgage industry that has plunged into distress.
American Home Mortgage's 40 biggest creditors include virtually all the major names of Wall Street. At the top of the list are Deutsche Bank AG and JPMorgan Chase.

Gas is $3 a gallon.
Forclosures are at an all time high and rising.


And the markets on the rise?



Guess I'm clueless... cause I see it in plain black and red....... umm I mean white....

hey wall street guys, keep your head in the sand,,,, it will protect you .... NOT !!

Zimmer

[MrAustin]

another great reason why I don't anyone a dime! except utilities of course.. Thank god the house'n slump hasn't hit Austin we are one of the few markets growing like a puppy on roids..