Jim Cramer told viewers that tech stocks remain the best place to find big winners. He said this despite recent struggles. That's the headline. A man on television recommended buying assets after they dropped in price.
Revolutionary stuff. Buy low, sell high. Nobody thought of that before Cramer cracked the code on CNBC yesterday afternoon between the pharmaceutical ads.
The phrase "despite recent struggles" does heavy lifting here. Tech stocks didn't struggle. They got their asses kicked. The Nasdaq dropped like a retail trader's portfolio after discovering options. But we can't say that on financial television because it might hurt feelings or trigger compliance.
Cramer's logic follows a pattern. Tech goes up, he says buy tech. Tech goes down, he says buy tech because it's going to go up. Tech trades sideways, believe it or not, also buy tech. The man has never met a price level that didn't confirm his thesis. That's not market analysis. That's religion with a ticker.
Here's what actually happened. Large cap technology companies sold off because interest rates matter and valuations compress when the risk-free rate moves. But you can't fill seven minutes of airtime with that sentence. You need drama. You need conviction. You need a guy in a button-down yelling at a camera about how Apple is a generational opportunity at every price between twelve dollars and two hundred and forty dollars per share.
The best part? Cramer's right sometimes. Broken clocks, twice a day, you know the rest. And when he's right, his fans remember. When he's wrong, they blame the market for not understanding his genius. It's a perfect system. No accountability, maximum engagement, and retail traders lose money trying to catch falling knives because a man on television told them to.
Tech stocks remain the best place to find big winners the same way the casino remains the best place to find big payouts. Technically true. Statistically stupid.
Photo by Brian McGowan on Unsplash
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