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Stocks discussed on Jim Cramer’s Stop Trading! TV program, Wednesday December 10.

Terex (NYSE:TEX) Manitowoc (NYSE:MTW) Caterpillar (NYSE:CAT), Colgate (NYSE:CL), Kimberly-Clark (NYSE:KMB), eBay (NASDAQ:EBAY), Mercadolibre (NASDAQ:MELI), Terra Nitrogen (NYSE:TNH)

While Cramer was bullish on infrastructure a week ago, he is cautious now that hedge funds have been buying up names like Terex, Manitowoc and Caterpillar as if a recovery is around the corner; “You have to do the opposite of what the hedge funds do,” Cramer said. “Because they’re just incapable of making money for you.” Instead, he would wait for a drop in infrastructure stocks to buy lower and would pick up defensive stocks like Colgate, and Kimberly Clark. He thinks eBay should by the remaining 82% of Mercadolibre, which would be a good stock to buy on a pullback. He would also look at Terra Nitrogen for its dividend, but would avoid other ag stocks right now.

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Source: Cramer's Stop Trading! Stay out of the Hedges (12/10/08)