Cramer examines Fed decision, booming tech stocks

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CNBC’s Jim Cramer said the Federal Reserve and the technology sector were both shocked by some positive momentum this week.

CNBC's Jim Cramer on Wednesday said the Federal Reserve and the technology sector were both shocked by some positive momentum this week.Jim Cramer

on Wednesday said the two most important forces in this market, the Federal Reserve and the technology sector, both got shocked"in a positive way" this week.steady on Wednesday and revised its outlook to just one rate cut in 2024. But Cramer said this morning's"very cool"number caught the Fed by surprise. The CPI is a key inflation gauge, and it rose 3.3% in May from a year ago, according to the U.S. Labor Department. The figure is down from 3.4% in April.

Cramer said the number"simply didn't jibe" with the narrative that the Fed bought into when it started its meeting yesterday. He said before the CPI, rate cuts didn't seem like they were on the table. As such, the positive event overran the Fed's negative expectations.on Monday, where it introduced a range of new AI features like an overhaul of its voice assistant Siri.

"That's just incredible and it confirms what the bulls have been saying all along: that generative AI is real and it's spectacular," he said. Cramer said the Fed and the tech sector have both been rocked in a meaningful way, and it's going to make investors"a lot of money" if they're in the right stocks.

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