Jim Cramer Blog

Erin Burnett hosted. Steve Leisman says the head of Wells Fargo says the housing market is approaching the largest threat since the great depression. Julia Coronado of Barclays Capital says that consumer spending will depend on the income. As long as the labor and retail markets are thriving, consumers will be buying products and there will not be a recession or a slight-depression during the upcoming holiday season. Steve Leisman says recession is caused by consumers that are unprepared, and as long as the consumer knows their budget and their personal spending is all in balance, there should not be worry during the 4th quarter. Next was flipping foreclosures with Barbara Concoran of NBC Real Estate. Sacramento, Cleveland and Miami are among the hot spots for foreclosures. Investors, clubs, sharks and charity groups are all buying foreclosures. High stakes and high rewards are the names of the foreclosure game. If done correctly the reported typical gain is around 20% on foreclosure flips. Next, Chinese toy safety was covered by Scott Cohn of CNBC. In Beijing, since the toy recalls the Chinese toy companies have been very busy. Official standards are not existent, and independent inspectors are the preferred method for testing on which toys and how many toys. The toy industry is working on mandatory random testing for all of the toys made in China, and for some toys a recall faze all the way back to the design of the toys. Rick Santelli with the bond report presents 2 yr note and 5 yr note as an anxiety surge for investors. Madagascar as the next oil hot spot was the next topic. Alex Archilla os Madagascar Oil says that 17 B is there 10B is recoverable. Bermolonga is about 1/3 of the size of most mining projects in Canada. But 7-10 Billion barrels of recoverable oil at least matches that of other oil reserves around the world. He says that Madagascar Oil is still working with different firms to establish the very best technology to use in recovery of these natural resources. Madagascar Oil is an upstream natural gas and oil company that we will hear more of in years to come. Stop Trading with Jim Cramer was next. He says that Wells Fargo (WFC) and Fannie May are both off his list.

Labels: CNBC, Erin Burnett, Jim Cramer, Street Signs, street signs recap