Recap of Jim Cramer's radio show on Friday June 9. Click on a stock ticker for more analysis:
General comment: Technical Difficulties
Cramer warns that technology stocks will stay down for a while, since they are news-driven stocks, and there will be no exciting new products introduced this summer. He says that tech sector is sluggish every summer, and that "The semiconductor industry is the single worst place to be right now." Sales of PCs are down, and Cramer suggests selling tech every time there is a rally. The only stock in this sector Cramer recommends right now is Apple Computer (NASDAQ:AAPL). Instead of tech, Cramer suggests oil, mining and infrastructure, and he notes that the healthy performance of the banks might be a sign that the Fed will hold off raising interest rates.
Friday's short-lived rally is typical of how the market is behaving these days. This copycat rally brought the US market up because Europe rallied, and then Europe went up because the US rallied, and then the stocks dropped. Cramer suggests buying stocks that did not rally on Friday, including machinery, oil and supermarkets.
Norfolk Southern (NYSE:NSC): Cramer says this stock has an excellent chance of going higher.
Pepsi (NYSE:PEP): Pepsi costs more than Coke, but Cramer likes Pepsi's performance and growth.
Schlumberger (NYSE:SLB): Cramer suggests picking up this stock, which is experiencing a freefall. "I would buy 50 out of 200 shares right now and wait to buy 50 more shares as it drifts down, and then I would buy 100 shares," Cramer said.
Consolidated Edison (NYSE:ED): Cramer prefers this stock to Public Service Enterprise Group (NYSE:PEG).
Qwest Communications (NYSE:Q): Cramer prefers this stock to Level 3 Communications (NASDAQ:LVLT).
Starbucks (NASDAQ:SBUX) and Whole Foods Market (WFMI): Cramer likes these two growth stocks.
Qualcomm (NASDAQ:QCOM): Cramer suggests letting QCOM go lower before buying.
Westinghouse Air Brake Technologies (NYSE:WAB): This railcar company is making the delicate transition from a momentum to a value stock. Cramer says to wait until buying, because he does not like its current risk/reward ratio.
Oregon Steel Mills (OS): Although Cramer identified this stock as a winner early in the year, he is concerned about its current risk-reward ratio.
Coca-Cola: (NYSE:KO) Although Bear Stearns upgraded KO, Cramer still prefers Pepsi.
Level 3 Communications (LVLT): This company is making a lot of acquisitions, and Cramers says that this practice is huring shareholders.
Peabody Energy (BTU): Cramer says to wait on this stock.
More: Cramer's latest stock picks, including: Mad Money Recap, Lightening Round, Stop Trading and his Radio Show.