CNBC's Jim Cramer has advised investors to pay closer attention to President Donald Trump's recent actions. As the host of CNBC's "Mad Money," Cramer analyzed Trump's recent moves, concluding that investors should give more weight to his intentions. This advice comes at a time when Trump faces little opposition in several arenas, with a Republican majority in Congress and on the Supreme Court.
President Trump recently imposed 25% tariffs on imports from Mexico and Canada and a 10% tariff on goods from China. These decisions have sparked widespread condemnation, especially concerning Trump's cabinet picks, which Senate Republicans supported. However, Cramer emphasized that investors should not dismiss Trump's efforts to establish a sovereign wealth fund.
Cramer highlighted that many Chinese stocks, including Baidu, PDD, and Alibaba, saw gains on Tuesday. He noted that while initial tariffs on China rattled the market, it soon recovered as traders recognized Trump's negotiating strategy. Cramer praised the U.S. government's system of checks and balances but noted that Trump has very few effective checks on his power for the next two years.
"People on Wall Street, they better start taking the President of the United States more seriously, or else you're going to keep losing money."
Trump's influence recently led Mexico to deploy more troops to its border to curb drug trafficking. Cramer pointed out that Trump's actions are not without purpose. He urged investors to heed Trump's words and recognize that Congress and the courts are unlikely to thwart his initiatives unless they involve unconstitutional executive orders.
"You don't have to like him, but I'm begging you, listen to his words."
"You got to recognize that Congress won't stop him, and aside from some explicitly unconstitutional executive orders, the courts won't stop him, either."
The White House has yet to respond to requests for comment regarding these developments. Meanwhile, Cramer continues to emphasize the importance of understanding Trump's impact on the market. Investors interested in following Cramer's strategies can join the CNBC Investing Club for insights into his market moves.