After stock indexes concluded at all-time highs on Monday, CNBC’s Jim Cramer declared stock futures to be a useless instrument for gauging market sentiment. “You’ll learn a lot about the market if you get up at 4 a.m. “If you want to see how equities are setting up, I encourage you to try it,” Cramer remarked on “Mad Money.”” “Just looking at the Dow futures told you that this was going to be a bad day, a down day, possibly a catastrophic day since the Dow futures were down 100 points.” Stocks began the day down before rising to new highs at the end of the trading day. Investor excitement about earnings season boosted the Dow Jones Industrial Average by 126 points to slightly under 34,996.18. Cramer took advantage of the opportunity to explain how bullish traders can utilize futures, which are derivative contracts used as a price signal, to manipulate the market. He indicated that he assesses the market based on a longer-term perspective rather than daily price fluctuations. “If you share my bullish viewpoint, you can get up early, look at the futures, and wait for the futures to knock down your favorite companies,” Cramer said. “As a weathervane, futures are completely useless. Unless you’re searching for a buying opportunity when they carelessly knock things down, you should just forget about them “Added he. Investors had an opportunity to move on stocks like Disney and American Express, according to Cramer. During the session, Disney’s stock rose by more than 4%. American Express increased by roughly 1%. Those shares, on the other hand, dropped more than 2 points in morning trade before rallying more than 2% from their lows to close at $173.60 per share. Bank equities such as JPMorgan Chase and Goldman Sachs also fell in early trading before rebounding, according to Cramer. “The pattern has been with us for months, and it continues to deceive people. I strongly advise you not to be fooled by the futures’ downward trend “he stated “These dips are a blessing if you have the fortitude of your bullish convictions.” Disclaimer Do you have any questions for Cramer? Cramer may be reached at 1-800-743-CNBC. Interested in learning more about Cramer’s world? Make contact with him! Money that’s out of control Jim Cramer on Twitter Twitter, Facebook, and Instagram are three of the most popular social media platforms. If you have any questions, comments, or recommendations for the “Mad Money” website, please send them to madcap@cnbc.com./n
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