My Two Cents - "Cramer's Confession"

3/23/2007

Anyone who can tolerate an evening of CNBC will be treated to at least one episode of Mad Money and its cranky host Jim Cramer. While on the outside, Cramer appears to be little more than a frothing lunatic, it is becoming quite clear that there is another side to Jim Cramer. Anyone who owns a stock and feels they get a fair shake in the financial markets needs to turn off American Idol and listen up - NOW! I do not use this commentary as a platform for unpleasantries, however, when someone as high profile as Cramer admits to the unethical and potentially illegal manipulating of markets, then the rules change and the gloves come off.

The following was taken from Cramer's interview with Aaron Task:

"A lot of times when I was short, I would create a level of activity beforehand that would drive the futures. ... It's a fun game,"

Cramer later said that "no one else in the world would ever admit that, but I don't care."

However, seconds later, he acknowledged, "I'm not going to say that on TV," referring to his show on CNBC.

"It is a fun game" The average person scrimps and saves to try to make a contribution to a 401K or IRA and this pack of clowns thinks it is a game to play with that money and push the stock markets one way or another for their own edification and profit. If Cramer knows how to do this, bet your last worthless nickel that plenty of others know it too and are doing it. Still think you're getting a fair shake? Remember these comments the next time you call your big time stockbroker and ask what's moving. They want to push the markets and will sell you whatever pile of stock they have laying around that they need sold. These people do not care about fundamentals; they care about money and lots of it. And the American intellegencia continues to make them rich every year. Stop it! Pull your money out! Or at the very least do your own research and go with self-directed accounts.

"I'm not going to say that on TV" It should speak even further that CNBC, to my knowledge, has yet to issue any kind of statement distancing themselves from this loudmouth bufoon. Look at the Martha Stewart case. The SEC flexed its flaccid muscles and prosecuted her over approximately $50,000. Cramer admits to using millions of other people's money to manipulate markets and not a word is said. Get your money out of Wall Street America. These people are robbing you. Sure your portfolio might go up. Big deal. These people don't lose. When they do lose, they print more money and make sure they win. To that degree I give Cramer credit. He is at least brave enough to make such an admission.

"No one else in the world would ever admit that, but I don't care" I challenge anyone in the SEC who has even an ounce of intestinal fortitude to investigate this matter and push for an indictment of Cramer and anyone who knew of these practices. I am guessing, however, that if someone is bold enough to make such an admission that they are worried very little about having to answer for their activities. Further, I challenge anyone at CNBC who has even a shred of integrity left to fire this clown. I am guessing that CNBC welcomes such events, as the ratings for their shows will undoubtedly increase. Just goes to show you that none of these media outlets are in the information business. They will say and do anything to sell papers, get viewers, and attract website hits. Think very carefully as you write out your next IRA contribution check. Do these folks really have your best interests at heart?

Stunts such as this should tell us that we need to take a step back and look at what we're doing and more importantly, with whom we're doing it. Remember: Sheep get fleeced. If you're not willing to take your destiny in your own hands, then take your place next to the man in the suit with the shears.

Andy Sutton holds a MBA with Honors in Economics from Moravian College and is a member of Omicron Delta Epsilon International Honor Society in Economics. This article and other information is located at http://www.my2centsonline.com Please feel free to distribute, copy or otherwise disseminate this information.