After making it through the weekend’s political woes — from Trump’s retaliation on Syria to former FBI Director James Comey’s ABC interview to the turmoil brewing around Trump lawyer Michael Cohen — CNBC’s Jim Cramer still harbored some concerns.
First, not long after President Trump set off a missile strike on three Syrian chemical weapon facilities, Syrian President Bashar Assad was seen laughing with Russian advisors about Trump’s limited response.
“The Syrian civil war went right back to business as usual the next day,” Cramer said.
Second, the “Mad Money” host figured Comey’s upcoming book tour would provide more salacious details and revelations over time to garner publicity.
Third, the Cohen story seems to be developing as more of a “slow burn” than a one-off headline, creating a destabilizing undercurrent for the Trump administration, Cramer said.
So, what does that mean for investors?
“I’ll tell you: it means we’re going to have to deal with this backdrop against earnings every day, and twice on Saturdays and Sundays,” Cramer said. “Yep, I think it could be an overhang because the stock market hates chaos, and given the nature of these challenges to President Trump, you have to worry that chaos is what we’re going to get.”
And while Cramer hoped that Friday’s earnings windfall from Honeywell, General Electric, Procter & Gamble and Schlumberger would offset the weekend jitters that threaten the market layout, he admitted that hope was no investing strategy.
“Until these issues get cleared up somehow, if they even can be cleared up, the worries will linger,” he said. “I’d love to be proven wrong here, but for the moment, let’s assume … every Friday is a tale of woe and every Monday rolls back some of those losses as the market breathes a sigh of relief if nothing catastrophic occurs.”