Jim Cramer argued on Wednesday that the stock market is now split into two groups: companies that move with the bond market and artificial intelligence businesses that seem largely immune to rising rates. He pointed to the latest 10-year Treasury note auction as a key event, saying such sales used to be a ritual in his hedge fund days, with investors waiting to see how they went before committing to stocks.
According to Cramer, a weak auction can send yields higher and equities lower, punishing companies that depend on cheap borrowing. But AI stocks, in his view, have a significant advantage because their momentum and growth prospects appear to outweigh rate concerns. The split, he suggested, is not about the whole market but about which companies can ignore the cost of capital.
The source does not provide data or other analysts' views, so Cramer's assessment stands as a single market opinion. No conflicting evidence is presented in the article, but the claim is anecdotal rather than a systematic analysis of market behavior.