CNBC’s Jim Cramer on Wednesday deciphered between what he sees as speculative and blue-chip stocks in a market that’s shaped by the coronavirus pandemic.
“The whole market’s being upended by the pandemic and the lines they are shifting,” the “Mad Money” host said. “Formerly rock-solid companies are now on dangerous footing. Formerly speculative outfits have become titans of emerging industries.”
After daily new Covid-19 cases topped 40,000 on Tuesday and more states placed restrictions on business activity, the S&P 500 and Nasdaq Composite both rose less than 1% in Wednesday’s session. The Dow Jones Industrial Average was the outlier, slipping almost 78 points, or 0.30%, to 25,734.97 on the first trading day of the third quarter.
“This is a terrible situation for our country, it’s really bad for the economy as a whole, but incredibly that doesn’t necessarily mean it’s bad for the stock market,” Cramer said. “Think of the stock market like a casino for a moment… When Covid cases…