Jim Cramer says cyclical stocks are worth buying after Monday’s sinking

Jim Cramer of CNBC said Monday that after a brief decline in cyclical equities, investors now have the chance to reduce their technology holdings and buy industrial parts.

Host “Mad Money”, which made an argument for building a balanced portfolio, pointed to shares such as steelmaker Nucor, Boeing, Union Pacific, General Motors, Ford and Southwest Airlines after each of their shares fell by about 2%. or more.

He also placed United Airlines on radar. The stock fell 4% during the trading session.

“You have to stay diversified. If you only have technology, you will lose the large reopening stocks that were thrown away today,” he said.

Financial and industrial stocks traded less in months as technology stocks rose.

The Dow Jones Industrial Average blue chip, which exceeds this month, added 103 points to close at 32,731.20, up 0.32%. The benchmark S&P 500 advanced 0.70% to 3,940.59. The Nasdaq Composite, which had poor performance so far this year, rose 1.2% to close at 13,377.54.

Investors in recent weeks have turned money from high-growth holdings into economic reopening transactions, Cramer said.

“I don’t want to completely rule out the possibility that the rotation has taken its course. Today’s transition to technology has been very strong,” he said. But in the end, Cramer showed Monday’s technological rise to a “countercurrent rally.”

“In this new environment, banks and industry can do no harm, while technologies can do no good, even if they get the occasional countermultip of recovery as they have today,” he said. “Take advantage of this temporary weakness in the industrial industry, raise the power of technology if you need money to buy the industrial industry … I don’t think you’ll regret it.”

Cramer highlighted the following names:

Disclosure: The Cramer Charity Trust owns shares in Boeing and Ford.

Disclaimer