CNBC’s Jim Cramer on Wednesday explained why he thinks this market is favorable for buyers, saying there is widespread bullish fervor that reminds him of times before the dotcom bubble made some retail investors less interested in the market.
“Yes, the good times are rolling,” he said. “It’s not the end of the world. It’s just the end of the staid world of just nothing but index buying.”
Cramer celebrated Wednesday’s session, which saw the major indexes soar to record heights. He said it’s a “mad dash” to make money in a variety of places, including mergers and acquisitions, initial public offerings and “giant upside surprises.”
Retail investors lost their enthusiasm for investing after the bear market of the early 2000s, he said. To Cramer, some investors did not expect to make much money in individual stocks, except for certain giants that made up FANG and the Magnificent Seven.
Cramer argued that money is moving all over the market as retail investors become excited by different companies and parts of the business world, selling one popular stock in a certain sector to buy another. For example, he suggested some investors who poured into red-hot cryptocurrency IPO Bullish on Wednesday might have pulled investments from trendy artificial intelligence names like Circle and Palantir.
“It’s not a gangster’s paradise. It’s a buyer’s paradise,” Cramer said. “Get used to it. Because it very well may be here to stay.”
