CNBC host and longtime market commentator Jim Cramer may have once again called the bottom—albeit while warning of a crash.

In early April, Cramer raised alarm bells over President Donald Trump’s Liberation Day global tariff plans, cautioning that the market could be headed for a dramatic downturn, possibly echoing the infamous 1987 “Black Monday” collapse. 

Speaking on April 2, Cramer warned that unless the administration softened its stance and rewarded international partners who “play by the rules,” a rapid sell-off could follow.

“If the president doesn’t try to reach out and reward these countries and companies that play by the rules, then the 1987 scenario… the one where we went down three days and then down 22% on Monday, has the most cogency,” he said. “We will not have to wait too long to know. We will know it by Monday.”

His remarks came just ahead of the April 7 trading session, when the Nasdaq 100 was hovering around 16,800 and broader markets appeared to be entering correction territory.

But rather than collapse, the market began a sharp reversal. As of May 16, the Nasdaq 100 had surged to 21,427.94, representing an increase of approximately 27.5% since Cramer’s comments.

The Dow Jones Industrial Average also jumped from 37,965 on April 7 to 42,654 at last close, a gain of around 12.3%. Meanwhile, the S&P 500 climbed from 5,062 to 5,958, up 17.7% over the same period.

Cramer misses timing the market

In hindsight, Cramer’s warning may have served less as a harbinger of doom and more as a contrarian buy signal, reminiscent of his famous 1987 call when he correctly identified the bottom of that historic sell-off.

But once again, Cramer’s voice was at the center of a pivotal market inflection.

To critics, the April comments may appear as another missed market timing attempt. But Cramer’s framing, invoking a worst-case scenario to highlight the political risks to equity markets, reflected broader investor anxiety during a volatile geopolitical stretch. 

Instead of panic selling, however, markets digested the news and powered higher, possibly reflecting strong underlying economic resilience or short-covering into a relief rally.

Featured image via Shutterstock

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