Jim Cramer Declares The Depression "Over" (VIDEO)

On Thursday's episode of "Mad Money" host Jim Cramer declared that the depression is, well, over. No stranger to making bold statements about the stock market and the economy, ">Cramer delivered the news in his own inimitable style, unequivocally stating with gusto: "Right now, right here on this show -- I am pronouncing the Depression over."

And who does he credit for this turn around? As he wrote on bloggingstocks.com the same day, the credit lies with Obama.

When [Obama] became more market-focused, and the Fed took rates to zero and offered financing -- leverage to buy asset-backs -- and took mortgage rates down to record lows while homes lost huge percentages of their value, the fire caught. Lending started again.

And the depression ended. I think it ended in the first week of March. I think that's what Doug Kass saw when he went bullish. I think I saw it when I realized that even if every financial went under and most companies cancelled their dividends, we only had 1,000 points to drop, and you had to start buying. There just wasn't enough downside left.

These are not disputed calls.

Now the end of the depression has to be priced in.

WATCH the segment:

Video via businessandmedia.org

Cramer also discussed his assessment on Morning Joe:

Comments

[Ahmad Weston]

I dont think this was cleared with John at all. He's going to be on punishment when he gets home.

[tylerdurden2009]

and yet http://thenoz.wordpress.com/ has a copy of his script for cymbalta! this guy is a joke

[newunderground]

A sure time it's time to buy those dreaded short funds again! Take whatever Kramer says, and do the opposite.

[dirtfarm]

sorry, he needs another beat-down by Stewart. A Homer Simpson voice-over to this video would put it in proper context.

[EinChicago]

I think teh HuffPo will provide teh best barometer of when the recovery begings as the majority of the posters will switch form "Ah me, I am so wise and I know teh world is going to explode and die and every american should be imprisoned for the crime of their birth" to "Ah me, everyone else is so blind, why don't they see that I am right and this recovery is all a sham and the inevitable revolution will come in a few years and all americans will be imprisoned for the crime of their birth".

We're still at the stage where the cassandra's can enjoy a false sense of bravado because people are scared enough to pay them attention. It's when we switch to those same cassandra's saying they are still right it's just everyone else is wrong for wanting the economy to recover and too foolish to see what they see" that we will know we've turned the corner.

[buddydave]

"Jim Cramer Declares the Depression 'Over'"

The seals it. Our economy's doomed.

[Puffin16]

Did he clear that through Jon Stewart first?

[GlenRast]

How can something be over that never started in the first place. Maybe he was talking about his own personal depression.

[monkeysuit]

Yeah maybe he was joking because there was no depression. Unless he was talking about the one in the 30's which has been over for some time maybe someone should tell him.



Monkeysuit
http://randompoliticalthoughtsandnews.blogspot.com

[Foodbuff]

Why are we listening to this man? History has proven that the socalled gurus of finance no little more than anyone else.

[dlstern0226]

The bottom has been hit! There's no doubt about that. Shrewd investors are buying up companies at very cheap prices. Real Estate investors are picking up properties at extremely low prices. So yes it is a time to buy.

Ripple through the financial community however are steal being felt from frauds committed by Bernie Madoff, R. Allen Stanford, and other ponzi scammers. The SEC didn't do it's job for some time. Only when financially pressed investor try to draw down capital did these schemes start to fall apart.

Precious metals are a great investment and so is real estate. The reason is simple both are at attractive prices and can always be turned into cash. Never buy etf's or derivative type stocks!

[Mustang Sally]

The heading is wrong. It should read "America Declares Cramer 'Over'."

[JoshuaLudd]

Given that he couldn't even see this whole thing on the horizon, its obvious how much credence his pronouncements that it is over should be given.

How does this man still have a job? Oh yeah.. because our economic system rewards failure as long as you are wealthy.

[hypersloth]

"Given that he couldn't even see this whole thing on the horizon, its obvious how much credence his pronouncements that it is over should be given."

well said.

[Kara ite]

Mr. Cramer is so mercifully free of the ravages of intelligence and wisdom.

[tesuji68]

"Blissfully free from the ravages of intelligence." - Time Bandits.

[John Barberio]

The problem with Cramer is he equates 'Economic Growth' with 'Stock Market Growth'. When the two are very much not the same. Consistent stock market growth is an indicator, with lag when the economy is failing but it goes up first when there's signs of economic recovery.

What this means is that the economy hasn't recovered *yet*, and we're all still in recession, but now we see the light at the end of the tunnel, and people are going back to the stock markets.

That Cramer can't tell the difference between 'Economy' and 'Stock Market' is a problem with Cramer and CNBC style economic reporting where Stock Value is all that matters.

[popart]

oh really, glad to hear it.