Jim Cramer calls Wall Street bright spots in the third quarter

CNBC’s Jim Cramer reviewed the past three months on Monday, picking out positives in a chaotic time for the market.

“For once, the good news was actually good and exciting news,” he said. “The next time you start to feel terrible about the state of the world, remember that miracles can still happen — at least in the third quarter of the stock market.”

First, Cramer discussed the run-up to the Federal Reserve’s 50-basis-point interest rate cut, saying the economy had neither a hard landing nor a soft landing — instead, “there was no landing at all.” The economy continued to grow, Cramer said, while inflation fell and unemployment rose. He added that the central bank had set the stage for a substantial interest rate cut so it could make the move without Wall Street panicking.

The market also extended after Big Tech dominated for months in a row, Cramer said. He noted how many sectors were able to have their “day in the sun,” including banks, utilities, retail, healthcare, housing and transportation.

And despite the tumult in the run-up to the divisive presidential election, Wall Street “chose to ignore the drama,” he said. He noted that investors did not react strongly when Vice President Kamala Harris replaced President Joe Biden on the Democratic ticket or after the assassination attempt on former President Donald Trump.

“July, August, September gave us some exceptional returns,” Cramer said. “Not only that, but the famous month of September, traditionally among the worst months of the year, actually produced some great results.”