[Beginning of Cramer's verbatim comments for this segment...]

Jim:           It is time to go into glass half empty mode… at least when it comes to the sick men of Europe… the five little pigs, PIIGS… Portugal, Ireland, Italy, Greece, and Spain… as represented here by my fabulous food and beer table… these countries finances are all on deaths door … but they do not know jack… that is Kevorkian … even as they sure could use a house call from the good late doctor… from here on in, you need to presume the worst… outright defaults … the equivalent of bond funerals… in Greece, in Spain, Portugal, Ireland, and Italy… four funerals and a shot gun Italian wedding.

Anyway, with those negative prognosis I am telling tonight… telling you to go thru your portfolio and see what stocks will be effected that you own… because I am absolutely sure, that is right I am certain, that every one of these European parade of horrible will come marching by your TV set… as we saw with the Gossamer Greece bonds… and the ratings downgrade of Spain… this very morning… now, if you are going to be shaken out by these countries, it is best to do it now… on a good day… today, when the Dow closed up 53 points… and the S&P eked out a .6% gain...

Now, if you think that Europe’s woes are going to directly impact US equities and not stop… before it happens… if you think that the US economy is going to get wrecked… fortunes of our best companies going to be destroyed by this table of horrible… I am giving you permission to bolt… while we are still only a few percents from the years highs… and believe me, if you thought that there were all sorts of weird derivatives that bet against housing… ala Senator Carl Levin… hey, listen, forget about it… people can bet on anything Spanish… probably Rioa, I mean they can bet on Piaia… yeah, that is right, they can bet on Piaia and help bring down the Portuguese market.. I am sure that Goldman Sachs will short in a whole Liberian Peninsula basket to you… I cannot blame you if you want to sell here.

There is never anything wrong with ringing the register to profit… leaving the table after a big gain… going to purchase some high quality Spanish wool sweaters… some Portuguese fishnetting… maybe some Greek sponges or urns, if you have out size profits… selling is certainly the easiest course of action… you can sell everything in May and go away… hey why not resurrect that diddy that was totally wrong last year… you can watch deliciously from the sidelines… as countries with really great food go belly up… but you know what? That is not enough to turn me off from this market… so what am I doing with my charitable trust, ActionAlertsPlus.com? Where you can follow along and buy ahead of me when I issue my email bulletins… because I play with an open hand, not a poker face ala Lady GaGa… or a Disco Stick for that matter.

Me, I am refusing to panic over Europe… I will not do it… after all, as I always say, nobody ever made a dime panicking… not only that, I am going a step further.. I am using the morning sickness of Europe to do some buying in America… because I am not going to let the ailing men of the continent frighten this guy, uh-uh… I am not letting them frighten me out of this market, market contagion, market immunization… morning after pill… nah, I think we will go down practically every morning that we get a down grade until all of these countries default… that does not, however, mean that we will stay down… as we saw today when the Fed’s benign statement ignited this market and we went up much higher… forget Spanish rice, we have got Uncle Ben.. is he a San Francisco treat? Or is that another guy?

Anyway, tonight I have got a novel way to think of things … I want you to ask yourself, I want you to ask yourself Reagan like… were your companies better off three years ago? I have been on all of the conference calls and I can tell you that almost every Dow stock is doing better now than it was back then… now, by my calculation only 4 out of 30 are doing worse, 2 are pushes, and a whopping 23 are doing better… I will not opine on GE because it is the parent company of this network… in fact, some companies are doing much better… let’s tick them out.

AT&T was about to get hit with the terrible landline decline a few years ago… but with this quarter, we got the first sign of bottoming for landlines and the company is expiring an explosion in wireless from Apple’s iPhone that will not be stopped by the way by Hewlett Packard’s questionable purchase of Palm after the close today… what does AT&T have to do with the price of bonds in Portugal? Absolutely nothing.

Boeing was in the wilderness in 2007, too far from a new cycle… with serious technical issues in building the Dreamliner… seen neck in neck with Air Bus… now it has pulled away from Air Bus and is about to embark on a 7 year aerospace cycle… how can you walk away from this? Just because the Parthenon needs an extreme home makeover.

Or how about Home Depot? Which has had a dramatic turn in leadership and a huge share take… this company was staring into the housing abyss three years ago… some of these companies are coming out of the housing problem with flying colors.. could be in for a multi year move… perhaps the most improved company in the Dow… do you think that Lisbon is going to cause you not to fix up your house?

I cannot walk away from JP Morgan, which is emerging from the bank fiasco with more market share and a better reputation… even if it is partially obscured right now by Washington… JP Morgan was among the top tier banks in the country at one point… now it is the acknowledged premier bank in the world… by a mile.

Or consider Intel, the semiconductor company, which is doing spectacularly better than it was in 2007... thanks to new cycles including handhelds, the return of corporate spending, a major movement in communications… and a new PC product cycle from Microsoft.

Or how about Cisco? Which was about to fall off a cliff in 2007... it is now in the best shape since 2002... it is back to where it was… I mean, these are not moving… Intel is back to where it was before that fantastic quarter.

I think that they are all buys on PIIGS weakness… Portugal, Ireland, Italy, Greece and Spain… I am adopting a different attitude here.. I am adopting a this too shall pass attitude… focusing on the incredible earnings power of these Dow companies… and a host of others like Networking ? Company, Juniper… or PC related plays like Western Digital and SanDisk… or improving auto maker Ford, that is a gift that it was down today… great earnings without sales acceleration, yet who knows what is going to happen next year… none of these companies is counting on Europe.

So sell if you feel the Euro flu… really sell, be my guest… join chief market economist George Orwell and pay omage to Cantolia… trade off of being down and out in Paris and London… me, yes I am concerned about how all of these animal farm pig stories will play out… let the Orwellian sell off will give me better prices to buy great American companies that should not be down at all on these headlines… presume all of the countries will default… like Latin America in 1984... then once you have immunized your portfolio, what is the worst that can happen? You are ready for the bad news… and who knows, maybe Dr. House subs for Dr. Kevorkian… they do not default… they go much higher… hey listen, wonders never cease in this market… witness that bizarre purchase of Palm by Hewlett Packard at the bell.

Here is the bottom line…

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[verbatim recap]

[end of segment]

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Market Results today: Dow:  + 53 Nasdaq:  + 0.26 S&P 500:  + 8   2 3 4 5 6 See all of tonight's stocks mentioned on Yahoo! Finance, here...