CNBC’s Jim Cramer said on Friday he’s looking at this week’s stock market drop as a buying opportunity.
“We’re trying to figure out what the heck to buy, not what to sell,” Cramer said on “Squawk on the Street,” as the Dow Jones Industrial Average, the S&P 500 and the Nasdaq were all falling more than 1%.
“I am looking and looking and looking,” he added.
A short time later, Cramer told his “CNBC Investing Club” members that he added to his charitable trust holding in Boeing, which now makes up more than 2.5% of the portfolio.
The “Mad Money” host feels there’s still a good chance of getting a so-called Santa Claus rally, saying on TV that historically rallying into year-end has basically been a “perfect call since 2008.”
For other ideas on what to buy, Cramer said, “Take a look at the banks. Take a look at the chip stocks. Take a look at the oils. They’re all starting to act better. Maybe you put some on today and put some on Monday. I like it.”
Cramer also told club members he would be buying more shares of Chevron for the trust if he weren’t prohibited from doing so. The trust is restricted from trading any stock that Cramer mentions on TV for three full days.
“I like the fact that everybody got so negative,” Cramer said on “Squawk on the Street,” referring to Thursday’s slide, which rolled into Friday.
By midday, the Dow was taking it on the chin, the S&P 500 was lower; and the Nasdaq was outperforming Thursday’s nearly 2.5% decline.
The stumble into the end of the week comes as stocks finished sharply higher Wednesday after Wall Street seemed OK with the Federal Reserve’s decision to accelerate its bond-buying taper and to signal three interest rate hikes next year.
The S&P 500, which traded above last week’s record close at one point Thursday, ended the day nearly 1% away from that level. The Dow on Thursday ended the session nearly 1.5% away from last month’s record close. The Nasdaq ended Thursday nearly 5.5% away from last month’s record close.
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