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Cramer reveals the biggest winner and loser under a Trump presidency

Cramer reveals the biggest winner and loser under a Trump presidency

With a slew of President-elect Donald Trump tweets coming in over the weekend, Jim Cramer is starting to wonder about the potential downsides to a Trump administration.

"While the positives of Trump's agenda still outweigh the negatives, at least as far as the stock market is concerned, the winner's circle has definitely gotten smaller," the " Mad Money " host said.

It has become clear to Cramer that Trump is serious about cracking down on manufacturers that ship jobs overseas. He was also concerned that Trump spoke with the Taiwanese president — something no American president has done since Nixon.

"A trade war with the Chinese suddenly seems more likely, although I could argue they have been waging war against us for years, but still you recognize tough talk could hurt everyone who does much business there," Cramer said.

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A Chinese trade war could negatively impact stocks that do business with China, including Caterpillar (CAT), Apple (AAPL) and Procter & Gamble (PG), Cramer said.

Trump also doesn't seem to be a friend of the health care sector either, Cramer said.

The positives came down to three industries that could be left unscathed by Trump: banks, steel and fossil fuels.

Trump's cabinet selections of Wilbur Ross and Steve Mnuchin spelled out good things for steel and banks, Cramer said.

Meanwhile, members of Trump's team have made it clear to Cramer that Washington will not stand in the way of the fossil fuel industry. Trump has already endorsed the Dakota Access Pipeline, and Keystone, provided the U.S. can get a better deal from Canada.

"Trump wants to drill baby drill and lay a ton of pipe to create jobs galore and give us energy independence to boot. It's not my job to make political judgments, but I can tell you the market cares a lot more about employment than the environment," Cramer said.

The banks were the biggest winners for Cramer under Trump, as he hasn't heard anything from Trump that indicates his policy would prevent the bank stocks from going higher.

Ultimately, some industries will benefit more than others, so Cramer recommended investors refine their picks as the Trump rally becomes narrower.


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