The market may be primed for the Dow to lead with the debt ceiling resolved, Jim Cramer says

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CNBC's Jim Cramer explained that last week's debt ceiling resolution may have paved the way for a Dow resurgence.

After flying high on Friday, 3M was down more than 4% at Monday's close. 3M is in the middle of a cancer-causing "forever chemical", which was postponed on Friday, likely to give both parties more time to reach a settlement. Cramer is optimistic the settlement will not bankrupt the company, and that its stock will perform well once litigation is over.

Cramer believes Caterpillar is largely misunderstood by Wall Street, and traders treat it as an old-fashioned cyclical stock. To Cramer, however, Caterpillar was successfully diversified by CEO Jim Umpleby into a business less reliant on the global economy. Caterpillar's stock kept running on Friday due to China's stimulus plan, but Cramer noted that China represents less than 5% of the company's current business.

"Now we just need to figure out which of these new winners really does have staying power beyond just Friday, but remember," Cramer said, "Please don't be greedy — the biggest money in this leg of the bull market has already been made."

 

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