CNBC's Jim Cramer stated on Tuesday that the current bear market rally in U.S. stocks could develop into a genuine recovery, with the major indices each closing over 2.5% higher on the day. He noted that the Dow Jones Industrial Average is on track for its worst April since 1932, but pointed out that the Dow bottomed out that year before recovering through the rest of the decade. Cramer identified several factors that could support a sustained market recovery, including productive trade negotiations, particularly with China, and the potential for countries to meet President Donald Trump's tariff demands such as shifting manufacturing back to the United States. He also cited further declines in oil prices, which could lead the Federal Reserve to cut interest rates, as well as soft economic data and an increase in initial public offerings and corporate mergers. Cramer referenced President Trump's announcement that he would not dismiss Federal Reserve Chair Jerome Powell, suggesting this could further boost market sentiment. He acknowledged skepticism about the rally's durability but argued that recoveries typically begin as bear market rallies. Cramer said, 'Sooner or later, somebody's got to blink. Doesn't matter who. And when that happens, we're going to be in much better shape.'
the bear market rally that keeps rallying
JUST IN: JIM CRAMER SAYS THE BEAR MARKET RALLY COULD BECOME A REAL RECOVERY. Source: @WatcherGuru https://t.co/J6On0PWjBq https://t.co/k7CZkkA7Zu
Jim Cramer says the bear market rally could become a real recovery. https://t.co/E8VoIj3ETj