Scott Mlyn | CNBC
Investors should be willing to put cash to work after the market’s worst day since “Black Monday” in 1987, CNBC’s Jim Cramer said Friday.
“There’s trillions of dollars on the sideline, waiting and waiting and waiting,” Cramer said on “Squawk Box.” “They’ve got what they’ve been waiting for.” He asked, “How can you not start buying here unless you just are so fearful?”
Cramer’s comments Friday come as U.S. stock futures were pointing to a decidedly higher open.
S&P futures hit their 5% limit up, putting a lid on gains that’s meant to ensure orderly trading when the market opens.
Dow futures were implying an opening pop of around 1,000 points, or more than 5%.
Cramer said Thursday’s pullback, driven by widespread fears of a global recession to the coronavirus, creates opportunities to buy into companies that are still positioned for long-term growth.
“I think Disney is a buy today,” he said. “There’s always people who don’t know about these things and they say, ‘Holy cow, they closed the parks.’ And they sell the stocks even though it might be a terrific buying opportunity.”
Cramer has been both critical of the U.S. government’s response to the coronavirus, urging for more measures to help workers and businesses who are impacted, while also encouraging investors to not stay entirely away from the market.
Shares of Disney were up more than 8% in premarket trading, following a nearly 13% decline on Thursday.
The stock closed Thursday down at $91.81, putting it around 40% off its 52-week high of $153, which it hit in November shortly after the launch of its Disney+ streaming video service.
Disclosure: Cramer’s charitable trust owns shares of Disney.