Today the dow lost 109 point thes. Nasdaq only dipped 0. 08 . Bond yields short and long are headed the wrong way, meaning higher. Different stocks always march to the beat of higher rates, march down that is. The markets over bought, we got some new supply coming. Including a gigantic one that was supposed to be red hot, siz sizzling. It seems to be cooling rather rapidly. It doesnt thaep help that we h looming strike against one or all of the big three automakers. Oil prices continue to climb higher. All bad. No wonder people want to sell. It actually makes sense. I made all these worries kcrystl clear to the cnbc investing club. We know Interest Rates always marrie matter and we fear the ipo market unleashing the dogs of excess supply. The thing about this market is it does have a selfcorrecting nature to it. As soon as you point out something negative it immediately does get hammered. For example, when i mulled over the ipo sale this weekend by the once legendary softbank i had a vision of a company of a company thats stock doubled from the get go. Now that doesnt look like it will be the case. Pretty much every aspect of tech, which includes being the central processing unit for nvidias most advanced line of Artificial Intelligence chips, the ipo is simply not yet drawn that kind of interest that i thought it would. Thats fantastic news for the overall market. The best thing that could happen for all the bulls is that arm stock goes to a slight premium and everyone including you gets some stock. But it doesnt shoot up so fast it unleashes a flood of additional ipos. We cant handle the supply. Over enthusiasm, corrected. What else . I feared that the only thing keeping the fed from continuing to raise rate s is that sticky nature of higher housing prices. The stock gods heard my concern and the shares of all the major homebuilders fell precipitously today. Theyve been the nemesis in any role of their stocks which have been among the strongest performers in the market this year, could be signaling a long awaited cooling off of home prices meaning the fed might be done, over exuberance, expunged. I was none too happy to hear that President Biden isnt worried about it. I mean, how come youre not worried about the oil issue shutting down. cause biden know something we dont know, maybe something about the uaws intransigent leadership. Bidens femaleel good story doe jive with the facts. If theres no strike, thats great news for the markets because we dont want to lose that manufacturing capacity. Prices would shoot up with a strike. A strike will make cars and trucks a lot more expensive. It sure looks like the uaw wants to strike, though. Can President Biden have been that idle in the statement . No way to curb your lack of enthusiasm after his offhanded remark. The new lead of the uaw who is a throwback, when this union could effectively bring the whole city of detroit to its knees and hurt the whole country. Then theres isoil. Its become the momentum change. I like pioneer natural resources. Pioneers the low cost in the premium. I put them in only because i have yet to figure out how we can reverse the trend of Higher Energy prices. No answer short of the president dumping whatever he can from the entire Strategic Petroleum reserve at once, a sub optical move to bridge a temporary situation. What was most encouraging today had to do with the mega caps, these remain unbelievable. Out of nowhere we got some crazy rallies, Meta Platform after spending the morning treading water. A classic kcase of an increase n the pace of nothing, a characteristic of all the mega caps. Same deal with characteristic of all the mega caps. I like that more. Same deal with microsoft, an explosion higher basedd on absolutely nothing. Apple, nvidia were resting comfortably. Tesla jumped more than 11 bucks on better sales in china. It does call into question all the worries that we have of a flood of cheaper chinese electric vehicles here, swamping our auto market, Say Something will happen, talk about with Gina Raimondo fresh off her trip to china. She is so on this. We had a tougher time with senior Growth Stocks. Chipotle tacked on almost 13 points after a strong push by baird. I think the stock was headed to 2,100. Even as the darn things already up 40 for the year because Growth Stocks in this market tend to have tremendous staying power, Running Service now, up another 6 and closing in on 600, where its down 14 points. The only spoil sport is the very odd action in salesforce. Blowout quarter just last week, and rallied 12 points in after hours trading. You see almost the entire move now repealed one week before the huge dream force conference in San Francisco nonetheless. These positive wills not outweigh the negatives if Interest Rates dont stop rising. It happened again today, just a huge increase in rates. Yesterdays Investment Club, i talk about the pernicious nature of relentless trading, as they tend to crush the stocks in the industrials and the transports, which is exactly what happened today. Theres no way this market will be able to advance if rates keep climbing, no way. I repeat that. No way. Look, ive been adamant there will be no recession, but that adamant came from a belief that those who looked at Interest Rates a year ago, the inverted yield curve and pronounced them as a harbinger of a recession were just dead wrong. Rates have to stop to keep that rece recession off the table. Maybe we avoid both. Rates stabilizes, stocks fly higher. Heres the bottom line. Right now im still putting the hate on september, i always do. Its a month that is down on average about 0. 7 a year until otherwise proven wrong by more than just a couple of insanely robust mega cap tech stocks. Lets go to edward in california. Edward. Caller yeah, hi, jim, thanks for taking my call. Of course, thank you. Caller i bought some google before the split, and it went down and its gone up a little bit, and so im a little bit positive, but its been kind of nowhere since then, and im wondering if because of the increased pressure from creditors, if i should sell it or if theres something on the horizon thats going to make it go up . This is google . Okay. Let me explain what i think can happen here. I am a direct tv user, okay . I just got rid of it. Im pulling down the dishes, they wreck the look of the house. Everybody else is too because of youtube. Who owns youtube . Alphabet. Who owns google, alphabet. Im still putting the hate on september, but maybe ill be proven wrong by more than a couple of mega cap tech stocks that happen all during 2010 to 2020. On mad money tonight, august was a whirlwind. I got to recap the auction and the setoff a little hard for the month of september, and cramer, nvidia has obviously had a monster run. Is the stock ready for another leg higher or should investors start getting a little cautious. As i mentioned, commerce secretary Gina Raimondo just returned from a trip to china, meeting with a bunch of important officials. So im sitting down with the commerce secretary to learn more about what went on during this highly anticipated visit. So stay with cramer. Announcer dont miss a second of mad money, follow jimcramer on twitter. Have a question . Tweet cramer, madtweets. Send jim an email to madmoney cnbc. Com. Or give us a call at 1800743cnbc. Miss something . Head to madmoney. Cnbc. Com. please dont go by harry casey, Richard Raymond finch ping please dont go please dont go please dont go please dont go dont goooooo dont go away please dont go sometimes, all the tenacity and grit in the world. Cant overcome the boundaries we face. so Morgan Stanley is partnering with the Womens Tennis Association to remove them. because this game is for everyone. summers over, before you can get your arms afternoon the present, you knneed to know whe were coming from. I want to spend a few minutes reviewing what happened in the tumultuous month of august with all the major averages finishing down. That under sells the volatility though. In the second half of july i warned you repeatedly that the market was due for a pull back. Thats what hit us where the dow and s p pulled back 5 and 6 respectively. Thats a big decline. The nasdaq plunged 9 from its midjuly peak. Now, two weeks ago we were teetering. After those three straight weeks of decline, we were terrified of what would happen when market darling nvidia reported earnings, and thats been a focus of mine, and jay powell made his big speech a couple of days later, the very thing that killed the market a year ago. Thats right around when i started feeling more constructive about the market. In large part because the tone was too negative. Everyone was betting wed get the same thing happening. By midaugust we began to add some of our favorite positions. Travel trust put a lot of minnesota to work because the market felt too oversold. That crucial week proved to be a turning point for the market. Nvidia shot the lights out with its second straight enormous beat and raise result, while wall streets initial reaction to the numbers was schizophrenic, everybody had been terrified. One reason the stock came roaring back last week after really getting hammered is people said its not that good. That was wrong. As for jackson hole, that ended up being nothing to worry about. While jay powell told us that inflation remains too high, no kidding and reiterated the feds longterm 2 inflation target, again, no kidding. Warning that he was prepared to keep raising it to get us there. He was far less hawkish than the bears feared. Powell acknowledged that risks are two sided. The fed needs to do enough to stamp outen flags once and for all, but not so much it inflicts unnecessary harm to the economy. Also good. In the end he told us the fed would proceed carefully. It would keep tightening, but they were going to be measured about it rather than ruthlessly raising rates. That is what happened in 2005, 2006 and it was the prelude to the great recession. Its clear that very few Money Managers are betting on a rate hike at the next meeting two weeks from now. I like that. We got some cooler than expected Economic Data last week with an updated Second Quarter gdp growth rate that looked like 2. 4 to 2. 4 down to 2. 1, as well as early signs that the labor market might finally be softening up. Last tuesday we learned that job openings fell much more than expected in july, and last fridays august report came in slightly stronger than expected. It also included 3. 8 Unemployment Rate up are from 3. 5 in july. This is a bad news is good news situation. Wall street wants the economy to cool down so the fed will stop tightening, which is why that upnick unemployment allowed the market to roar. Carl and i went back and forth this morning, i say 4 is the possibility in the next few months. That doesnt mean the selloff earlier in august was totally senseless. There was a lot that went wrong from the slow rolling chinese real estate, American Consumers are finally running out of steam as student loan repayments are coming back. The main thing you need to understand about august is what happened with longer term Interest Rates and a wild blitz that started midjuly, rose rapidly for about a month. The yield on the benchmark tenyear treasury jumped from 3. 75 to a high of 4. 6 in august 21st. For the past couple of weeks to 4. 26 , not ideal as we saw the industrials be pummelled by higher Interest Rates today. Investors came into august with a lot of confidence, even some cockiness as Second Quarter earnings season was generally going well. Inflation was coming down, and we had a recognition we werent on the brink of a recession as we predicted on this show. But things were going so well for the economy Interest Rates started rising quickly. At first with no one really noticing, and then last month with everyone noticing. Thats caused the stock market to get clobbered for good reason. Higher rates put more pressure on consumers and businesses. It kicked off a new wave of worries about those stupid regional banks with poorly positioned bond portfolios. They were the bane of our earlier existence in march. At the same time, Growth Stocks always get killed when rates are rising because their future earnings look less impressive when you factor in higher rates. Plus, they generally mean Bond Investments more appealing versus dividend stocks. Rates cooled off in large part because chairman powell said the fed wont be too draconian with its rate hikes. It sure sounds like theyll be data dependent, which is especially goods news considering we get much softer Economic Data last week. As for what happens next, well find out together. This past weekend i wrote about my outlook for september for cnbc Investment Club subscribers, explaining the mixed outlook for this market. I got to tell you, i thought it was required reading, i spent so much time on it. September is a tough month and this one probably wont be much different. Overall, i believe caution remains warranted, at least for the time being. Were suddenly technically over bought again according to the s p 500, although it was down a little bit today, and september is historically a lousy month for stocks. Plus, the threat from higher long rates remains very palpable and very real. If the august highs for the yield in the tenyear remain high, stocks could have a chance, especially if you get a more dovish view from the fed. You got to watch out here, there are other risks out there like potentially disruptive strike by the United Auto Workers as i talked about at the top of the show. The bottom line even if some of these problems materialize and stocks pull back again, possibly revisiting august lows you still dont want to get too negative on this market. The longterm outlook remains pretty darn positive now that the feds backing off. Even though i like the longterm this month could get easily very difficult. I want you to buckle up, show some fortitude, and prepare for the possibility of turbulence. Mad money is back after the break. Announcer coming up, the big picture for a big winner off the charts and onto the band wagon of a longtime crame fave, next. Every day, businesses everywhere are asking is it possible . With comcast business. It is. Is it possible to use predictive monitoring to address operations issues . We can help with that. Can we provide health care virtually anywhere . We can help with that, too. Is it possible to survey foot traffic across all of our locations . Yeah absolutely. With the advanced connectivity and intelligence of global secure networking from comcast business. Its not just possible. Its happening. Explore endless design possibilities. To find your personal style. Endless hardie® siding colors. Textures and styles. Its possible. With james hardie™. I was told my Small Business wouldnt qualify for an erc tax refund. You should get a Second Opinion from Innovation Refunds at no upfront cost. Sometimes you need a Second Opinion. All these walls gotta go ah ah ah id love a Second Opinion. Take the first step to see if your Small Business qualifies. Whats next for the stock of nvidia after its phenomenal run. Viewers know my stance on this. Nvidia dont trade it, just own it stock. Thats our strategy for the travel trust. I even named my dog nvidia, and then he passed away, so i named the next dog nvidia, and they have cards to be able to get ready at headquarters, i cant get in when i want to. In addition to be a tremendous longterm winner, this thing is incredibly volatile. Its easy to stick with it when you have a sense of whats coming. Dan fitzpatrick, the founder of Stock Market Mentor and host of his own podcast, the fitz factor in order to get a clearer picture of whats in store for the stock. Specifically how much its already run because theres an upside. Everybody asks about this all the time. A lot of people will look at a stock are from 10 in 2016 to 118 roughly a month ago, and they figure its got to run out of steam at some time, right . Even though nvidia had another tremendous quarter with stunningly positive guidance. Fitzpatrick is adamant nvidia can keep going higher after such a huge run as long as the Semiconductor Industry doesnt go out of style on the wall street fashion show. Even though these guys make the stock will struggle if professional Money Managers turn against the entire group. At least in the nearterm, the worst house in a good neighborhood will be a better performer than the best house in a bad neighborhood. If you want to know where nvidias headed, fitzpatrick says you need to check out the neighborhood. The weekly chart of the stocks Semiconductor Index is captured by the van eck vector semiconductor etf. Thats the smh for you home gamers. This is one of the first ones that we when i was a Hedge Fund Manager followed. Now, fortunately when fitzpatrick looks at this picture, he sees a great pattern thats begging for an upside breakout. Not yet. After picking near the end of 2021, the index plummeted along with the Broader Market losing nearly 50 of its value right here. That was only nine months it was horrific. Then the Semiconductor Index bought th