Stocks were higher Tuesday in anticipation of President Joe Biden’s coronavirus stimulus package.
TheStreet’s Katherine Ross and Jim Cramer discussed breaking news in the stock market. Cramer spoke about Electronic Arts’ acquisition of gaming firm Glu Mobile, why the housing demand market is booming despite unemployment, and the importance of home testing kits to enter the next phase of economic recovery.
Electronic Arts: Buy Or Sell?
Cramer said mobile gaming will be really important to Electronic Arts and this deal makes a lot of sense.
Cramer said top executives at real estate firms have echoed that this is the greatest demand market they have ever seen.”The move out of the city and into the suburbs has led to expansion for everyone. Interest rates are picking up but they are still at historically low levels. If there is a radical rise in interest rates by the Fed then these stocks are not going to work.”
Cramer said he is concerned about the coronavirus variants found in South Africa and the U.K. “You’ve got to catch these variants literally the first or second day because that’s how you can stop it from getting to others by using self-administered COVID-19 tests from companies like CVS (CVS) – Get Report and others. We need cheaper stay-at-home tests for everyone in this country to be able to mitigate the spread. That’s what could keep us from going to the next level of recovery.”