Alphabet Inc Class CAlphabet's roughly $80 billion stock sale adds to new equity supply, which Cramer warns can drain capital from existing holdings and threaten the bull market.
Jim Cramer says the flood of new stock and bond issuance hitting Wall Street poses a bigger danger to the bull market than the Iran conflict. On his July 8 show, the Mad Money host pointed to nearly $195 billion in new equity raised since early June, including SpaceX’s record $85.7 billion IPO, Alphabet’s roughly $80 billion stock sale, Rivian’s $1.5 billion discounted offering, and SK Hynix’s upcoming roughly $28 billion Nasdaq listing. Cramer warned that such supply can drain capital from existing holdings, with Nvidia already shedding almost $1 trillion in market value from its peak as institutions sell winners to fund new deals. He cautioned that if the pace continues, the bull market could suffocate under the weight of new paper, though a pause in offerings or more merger activity could still rescue the rally.
Alphabet Inc Class CAlphabet's roughly $80 billion stock sale adds to new equity supply, which Cramer warns can drain capital from existing holdings and threaten the bull market.
NVIDIA CorporationNvidia has already shed almost $1 trillion in market value from its peak as institutions sell winners to fund new deals, and the flood of new supply could further pressure the stock.
Amazon.com Inc
Space Exploration Technologies Corp. Class A Common StockSpaceX's record $85.7 billion IPO is a major contributor to the flood of new stock supply that Cramer warns could suffocate the bull market.
SK Hynix IncSK Hynix's upcoming roughly $28 billion Nasdaq listing adds to the new equity supply, which Cramer warns can drain capital from existing holdings and threaten the bull market.
Rivian Automotive IncRivian's $1.5 billion discounted offering adds to the flood of new equity, which Cramer says can drain capital from existing holdings and threaten the bull market.