Stocks on Wall Street ran higher Tuesday on “clueless buying,” CNBC’s Jim Cramer said after the market closed for the day.
Some of the action drew scorn from the former hedge fund manager, who had some words for enthusiastic buyers that put money to play.
“Last night, I told you not to overthink the run in the Covid stocks. Sometimes the market rallies and it makes perfect sense,” the “Mad Money” host said. “Then there are days like today, when I can’t take how stupidly bullish this market can be.”
U.S. equities traded higher as Wall Street continued to digest results from the current earnings season. About 70% of S&P 500 companies have reported quarterly results.
The Dow Jones industrials added 164 points for a 0.62% gain at the close, finishing at 26,828.47. The S&P 500 advanced 0.36% to 3,306.51 and the Nasdaq Composite trekked 0.35% higher to another record close of 10,941.17.
Cramer offered another takeaway from Tuesday’s action: “Never underestimate the power of enthusiastic buyers who do not know what they’re doing.”
He called out the misguided rush into oil producer BP and delayed appetite for biopharmaceutical products maker Sorrento Therapeutics, both of whose stocks rallied higher.
“Sometimes the stock market roars and it makes perfect sense, but there’s also plenty of stupidity, especially during earnings season when there’s so much news that it’s hard to keep track of what’s going on,” he said.