The market has seen its lows for the year and investors should expect an uptick, says market guru Jim Cramer.
“It’s time to get more bullish,” says Cramer, host of CNBC's Mad Money.
Now that the euro has rebounded, unemployment fell and stabilization with Spanish banks has occurred, investors should focus on the signs of improvement, Cramer said on the show.
“Last week’s 5 percent rally was totally and absolutely justified,” he said.
The negativity surrounding the market “is no longer in synch with the facts,” Cramer said.
With the possibility of a rally, investors should buy now, he said.
“I think we’ve seen the lows for the year and I am a buyer, particularly if we get any pullback of 3 percent to 5 percent,” Cramer said.
Strong second quarter earnings are propelling a rise in equities, Dow Jones reported.
Other experts said calling for a rally is too soon.
“The wishful thinking would be that we're back in rally mode, but I think the market's kind of holding its breath,” said Jay Suskind, senior vice president at Duncan-Williams, a broker-dealer firm.
But the optimistic sentiment may be premature until the middle of the earnings season, said Bruce Bittles, chief investment strategist at Robert W. Baird, when “the market will probably be pretty well overbought by then and ready to flip back into a trading range."
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