Dow Destroyed?
By:
Madd Money
Posted on February 11, 2008 at 19:00 PM EST
Cramer was baffled by the Dow Jones swapping out of tow stocks Monday. Altria Group Inc. ( MO ) and Honeywell International Inc. ( HON ) were dropped for Chevron Corporation ( CVX ) and Bank of America Corporation ( BAC ). The Dow decision makers apparently overlooked the rising importance of natural resources and the decline of the financial sector. HON has a strong international business as well. The market should have avoided financials right now instead of adding one. A stock to cut is American International Group Inc. ( AIG ). Better instead of CVX would have been Schlumberger Limited ( SLB ) or ConocoPhillips ( COP ), or even Freeport-McMoRan Copper & Gold Inc. ( FCX ). Agriculture should have been looked at also, maybe Deere & Company ( DE ) or Monsanto Company ( MON ). Instead in the space is Pfizer Inc. ( PFE ), Merck & Co. Inc. ( MRK ) and Johnson & Johnson ( JNJ ). Last there was an issue with Verizon Communications Inc. ( VZ ) and AT&T Inc. ( T ) being on the Dow. We were told to swap out of Cisco Systems Inc. ( CSCO ). The Dow is supposed to be representative of the market, yet it goes about things the wrong way.
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