Jim Cramer's Wall Street Confidential July 30th
No-Go for Bonuses
While the mortgage crisis has been a Main Street issue for six months, it has now become a Wall Street issue; "The bonus pool is completely in doubt now," Cramer said. "If you had done something really great in mortgages, I think now you're going to get laid off. The table of employment in mortgages and private equity is just way too high." The recent aggressive hiring in private equity and mortgages is going to be reversed through massive downsizing, Cramer predicted, and since those two divisions were responsible major earnings, these financial stocks are "not going to be cheap." He added that banks, "the ones with very big deposit bases -- I think that they will be purchased after they go down lower," and adds Barclays would be wiser to consider buying Countrywide, Washington Mutual, Bank of America, or even Wachovia rather than ABN Amro. "I think anything's possible as these stocks continue to go down," Cramer said. "We have a very weak dollar, so these companies are being put on double sale, and I really genuinely believe that they will not be independent at this pace."
While the mortgage crisis has been a Main Street issue for six months, it has now become a Wall Street issue; "The bonus pool is completely in doubt now," Cramer said. "If you had done something really great in mortgages, I think now you're going to get laid off. The table of employment in mortgages and private equity is just way too high." The recent aggressive hiring in private equity and mortgages is going to be reversed through massive downsizing, Cramer predicted, and since those two divisions were responsible major earnings, these financial stocks are "not going to be cheap." He added that banks, "the ones with very big deposit bases -- I think that they will be purchased after they go down lower," and adds Barclays would be wiser to consider buying Countrywide, Washington Mutual, Bank of America, or even Wachovia rather than ABN Amro. "I think anything's possible as these stocks continue to go down," Cramer said. "We have a very weak dollar, so these companies are being put on double sale, and I really genuinely believe that they will not be independent at this pace."
Labels: Jim Cramer, Wall Street Confidential
posted by Stock Administrator @ 11:48 AM
1 Comments:
At 7:21 PM ,
Michael Hammond said...
The drug companies have put together a brilliant marketing campaign to increase sales. The idea; to get kids on Ritalin through school psychologists and psychiatrists was pure genius. They came up with disorders; attention-deficit-disorder, mood-disorder, obsessive compulsive-disorder, anxiety-disorder, conversion-disorder, panic-disorder, phobic-disorder and on and on. All you have to do is hyphen disorder onto an emotion or a disability, whip up a drug to handle it and presto, the money pours in.
And now the other drug companies are copy catting Novartis.
The best thing is that these new clients as they get older will need more and more as Ritalin is basically an amphetamine and most will be on some form of it for the rest of their lives; thus insuring growth. And now I see that they are working on getting babies on it. Wow! Will the brilliance ever cease?
The outrageous allegations that Ritalin is a starter drug that creates addicts that then do street crime are just spurious charges done by people who are jealous of the money that the companies and their investors make.
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