Jim Cramer discusses the current stock market news consisting of the drop in Zoom Video, the short-selling of Rocket Companies, and markets on Wednesday.
Stocks were blended after Treasury yields increased and the U.S. economic sector added tasks in February at a weaker-than-expected speed.
TheStreet’s Katherine Ross and Jim Cramer talked about breaking news in the stock exchange. Cramer discussed Zoom Video, the short-selling of Rocket Business and markets on Wednesday.
Zoom Video: Purchase Or Offer?
Shares of Zoom Video ( ZM) – Get Report dropped a day after ARK Invest’s Cathie Wood bought more than 250,000 shares of the videoconferencing platform, valued at $95 million.
Cramer said Zoom was excellent, they gave financiers a good path. “Zoom which is now down 220 points from its high, is business investors do not believe is worth $100 billion any longer. So, Zoom has been reversed due to the fact that we remain in an unforgiving market that simply doesn’t like certain stocks, but it may not last for too long.”
Rocket Companies: Buy Or Sell?
Shares of Rocket Companies ( RKT) – Get Report dropped Wednesday after the home loan lender discovered itself in the midst of a short squeeze possibly fueled by financiers who belong to Reddit’s subreddit WallStreetBets.
Cramer stated he questioned why traders did not buy puts on Rocket stock instead of shorting it. “It was just a way to limit your danger. It was a dumb short because the company is doing well and reported its finest dividend.”
Markets on Wednesday
Cramer said investors are discarding anything that had done well this time, in 2015, and welcoming a whole group of stocks that did extremely. “If you have a portfolio comprised of growth stocks, you’ll have whatever going wrong. And everything going right, if you have a portfolio that is made up of industrials.”
