Jim Cramer was slammed for his Silicon Valley bank advice
During a Feb. 8 episode of MSBNC bad money, host Jim Cramer instructed viewers to buy shares in Silicon Valley Bank. Just a month later, that council comes back to haunt the ever-fake Cramer, whom John Oliver once called a “garbage can full of cocaine.” On Friday, federal regulators shut down the SVB in one of the biggest financial sector meltdowns since 2008, raising fears of a similar bank crash.
About NBC News:
The closure comes after a turbulent morning for SVB, which halted trading in its shares after falling double digits before markets opened. That plunge followed a more than 60% drop on Thursday. Concerns about a run on SVB prompted Wall Street investors to sell other bank stocks as well. Shares in other prominent West Coast lenders fell sharply on Friday, including First Republic Bank, PacWest Bancorp and Western Alliance Bancorporation.
Amid the uproar, Treasury Secretary Janet Yellen told House lawmakers on Friday morning: “There are recent developments affecting some banks that I am monitoring very closely and when banks experience financial losses it is and should be a cause for concern. ”
Barring a potentially massive financial catastrophe, Twitter users immediately began criticizing Cramer for encouraging people to buy SVB stock just last month. According to the New York PostCramer told viewers that SVB was “less dependent on private equity and venture capital offerings,” which was worth buying because “it’s always been a very good deal to be a banker for these immense pools of capital.”
You can see how good this advice was, and so did a lot of people on Twitter, who pounced on Cramer for once again making a completely wrong prediction, as he so often does:
A month ago, Jim Cramer urged investors to buy shares in Silicon Valley Bank $SIVB.
Today the bank was shut down by California regulators, making it the second largest bank failure in US history. pic.twitter.com/5jgjqTGxld
— Watcher.Guru (@WatcherGuru) March 10, 2023
What are the odds that the guy who told you, “Bear Sterns is fine” before he went bankrupt in 2008?
Would say “Silicon Valley Bank is a buy” before the stock falls 60% in one day on fears of a bank run?
Jim Cramer, ladies and gentlemen 🤡 pic.twitter.com/EJ7vp15Mcu
– Alexei Arora (@AlexeiArora) March 10, 2023
CNBC’s Jim Cramer should never be taken seriously when it comes to making financial decisions… He’s nothing more than a paid entertainer.
— Gunther Eagleman™ (@GuntherEagleman) March 10, 2023
Three things you can count on in life:
3. Dog Shit Stock Pick by Jim Cramer
Jim maintains its status as the ultimate contrarian indicator.
— Saylor Go Brrr (parody) 🇺🇸🇺🇦 (@saylor_go_brrr) March 10, 2023
And if all of this is confusing to you (join the club), this thread explains what happened here.
The Silicon Valley bank is imploding before our eyes
This is how the SVB threw 50 years of goodwill and $80 billion down the drain in just 30 hours
— Daily Morning Brew (@mbdailyshow) March 10, 2023
(via NBC News, New York Post)
https://uproxx.com/viral/jim-cramer-silicon-valley-bank/ Jim Cramer was slammed for his Silicon Valley bank advice