There was a time when I used to talk about the black holes and how if we got them fixed we could tackle the other problems from strength and not weakness.
When we last looked at the seven black holes only FordGMChrysler (collectively as one) and Citigroup (NYSE: C) (Cramer's Take) remained.
The last two days of annihilation came right back to the inability to solve for those black holes.
Now much has gone wrong for the market since then. Leveraged loans have started to spoil and commercial mortgages have soured. The life insurance annuity issues, pressured by endless declines in the market, get worse by the day.
But it is C (for Citigroup) and the old C (the former symbol for Chrysler) and Ford (NYSE: F) (Cramer's Take) and General Motors (NYSE: GM) (Cramer's Take) that, if fixed, or patched, could give the bull another chance to get back in the ring.
Today should be telling for all. If Citigroup can be bailed, bought or given away we would have a chance to rally and if we let Chrysler die and give Ford and GM debtor-in-possession financing and warranties on their warranties we would be set to tackle the other issues.
If not, we have to expect another leg down before we get to some sort of level where things can at last stabilize, although I am not quite sure what that level, yet, will be.
Jim Cramer is co-founder and chairman of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. At the time of publication, Cramer had no positions in the stocks mentioned.
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Reader Comments (Page 1 of 1)
11-21-2008 @ 10:07AM
beachpaul said...
The only bull getting back into this ring is bull crap. Next stop..Six..Nine..Zero..Zero. All aboard!
11-22-2008 @ 4:22PM
nick said...
What job are you going to get in the obama adminstration, you have been playing Monica for him for about 2 years, you should be able to get some type of post for you sucker.