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Jim Cramer Says: “Maybe New Money Will Flow to Pinterest, Inc. (PINS)”

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Jim Cramer Says: “Maybe New Money Will Flow to Pinterest, Inc. (PINS)”

We recently compiled a list of the Jim Cramer's latest game plan: 15 stocks to watch. In this article, we'll take a look at where Pinterest, Inc. (NYSE:PINS) stands compared to the other stocks in Jim Cramer's latest plan.

Mad Money host Jim Cramer recently weighed in on the factors that will influence market moves this week, pointing to the upcoming Federal Reserve meeting and a series of corporate earnings reports as key developments. But despite the significance of these gains, Cramer believes the presidential election will take center stage and dominate the market's attention.

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While Cramer acknowledged the importance of the election, he stressed that the Federal Reserve's next decision may be even more important for markets. He noted that the bond market was moving in an unfavorable direction and the situation was further complicated by a disappointing non-farm payroll report.

Although this report was distorted by hurricanes and labor strikes, it initially triggered a positive reaction in the bond market and pushed interest rates lower. Cramer had hoped this would signal a positive turnaround, but the optimism was short-lived as bond sellers quickly pushed interest rates back to their highest level since early July.

“In my opinion, the Fed needs to cut rates again. In recent weeks we have heard from too many companies making it clear that we are in for a real slowdown. The economy is a little shaky.”

Cramer also reflected on the Fed's decision to cut interest rates in September. He acknowledged that despite what appeared to be a relatively strong economy and a healthy labor market, the bond market reacted negatively to interest rate cuts at the time. Cramer discussed the possibility that the market could react unfavorably again if the Fed were to cut interest rates again. However, he wasn't worried about this potential backlash, arguing that a rate cut could help spark optimism in certain sectors.

“At this point, I think psychologically, if the Fed cuts rates next week, there is some hope that we could see a rebound, particularly in real estate and automotive, two industries that are losing strength by the day seem.”

Cramer emphasized that both presidential candidates appear willing to expand the federal budget. But his biggest concern was whether either candidate would be able to push his proposed agendas through Congress, a process he described as extremely difficult. Cramer noted that he believes presidential candidate Trump would likely be a bigger supporter of increasing the budget deficit than presidential candidate Harris, particularly because of Trump's favored tax cuts, which tend to lead to larger deficits.

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