‘Why aren’t the futures down more? They should be. I think they should be because we haven’t see what promises to be retaliation?’
That’s CNBC “Mad Money” host Jim Cramer scratching his head over the short-lived premarket equity selloff on Monday.
At last check, the Dow DJIA, -0.02% and S&P SPX, +0.07% were well off the session lows, but still struggling to stay out of red territory. The Nasdaq COMP, +0.21%, however, had managed to break higher.
“Gold, gold, gold, gold” he said. “When I see this endless buying for gold it makes me think for the first time people are just saying, ‘I’m really fearful.’”
Cramer said he doesn’t believe Iran to be a paper tiger, so it makes sense that investors are running to the perceived safety of gold and fixed income in the wake of the U.S. drone strike that killed top Iranian military leader Qassem Soleimani.
“It’s not just Treasurys TMUBMUSD10Y, +0.34% ,” he continued. “The gold buying has been endless; over and over and over. It feels like gold wants to go to $1,700 to $1,800. Now that would be very negative for the [stock] market.”
Watch the CNBC segment: