JJC:    Sometimes we just have to take our lumps... Sometimes it seems like the market's just impossible to make money in... made all the more difficult by the fact that it's the end of the quarter... the end of the 2nd quarter, and the big institutional investors... they've lost confidence in the whole market. They're not like you... they like to panic. They're dumping everything.

This decline has to be one of... let's call it a dozen severe selloffs I've had to deal with in my 25-year-long career... a career that began, I have to remind you, when the Dow was more than 9,000 points lower than it is now... That's right... more than 9,000 points that I guess I would have been spooked out of... most certainly, if I had a lot of days like today, and I didn't understand how the market works...

It's still the best solace I can give you right now though...

You see, we have to accept these declines. I'm not saying endure them, they're too hard... we have to accept them. We build them in... we acknowledge that things go wrong. Sometimes, we just sit, we take a little beating... We raise a little cash, where can sell marginal positions. We circle the wagons around the stuff we really like, and we jettison - sell, sell, sell - the stuff we don't. And we thank heaven's that we knew that pigs get slaughtered, and we weren't pigs...

This may be one of those times...

Going through the laundry list, it seems as though, on a day like today, there's very little to like. Tech? No... Aerospace? No... Banking? No... Sell, sell, sell!... Brokers, Industrials, Consumer Products?... Healthcare? Maybe... Food and Beverage? Possibly... Oil? Probably... Gold? (bull sound)... But that's just today. That's just a Thursday, before the end of a quarter...

And you know what?... There's stuff to buy in there right now. There are bull markets to find and I'll get to those in a moment.

I want you to think of the themes, though, that have gone under in just the last few days, because they explain the action more than what's happened today...

We had a cascade of pin action in different sectors...

The airlines can't buy planes, because they don't have the money, thanks to high fuel costs, so we sell Boeing (BA)... and everything that goes into a plane from Honeywell (HON) to United Technologies (UTX)...

General Motors (GM)... They're running out of cash... So we sell everything in a car, from Johnson Controls (JCI) to Visteon (VC)...

Banks need cash, oddity and irony... or maybe not that odd anymore, but they do... So we sell everything that goes into a bank, including the technology companies that supply them with their systems, like Oracle (ORCL).

Meanwhile, Nike (NKE) can't make its numbers, and that's the best consumer products company out there...

Research In Motion (RIMM) reports a pretty darn good number, but it's not enough, and RIMM is the last of the four horsemen of tech, now that we've sold almost all of the Apple (AAPL).

If the best tech story out there isn't working - even as I like it still - the market says, who needs tech?...

Now, here's what the market's subtext is...

If a company needs money... If it buys raw goods... If it uses oil and gas... If it needs the consumer to spend... that company cannot meet or beat the estimates that Wall Street sets, so they go down...

All of this combines to make the selling in the overall market so heavy, that even the oil and gas companies that have benefitted from higher prices... they go down today.

Only gold rallies... and that's not a good sign. Gold rallies when nothing else is working. And look around... almost nothing's working.

We're faced with a parade of horribles, instead of a fabulous July 4th parade that I'd like to offer you... There's an abiding sense that things have gotten, and are spinning, out of control. Investors and traders alike smell recession... and see inflation... the combination that makes everyone want to reach for gold. I always tell you to have some gold, but I'm not going to make excuses... I tell you to own a lot of stocks.

Right now, I don't like the market, other than a handful of things that I'm suggesting you circle the wagons around...

Minerals and oil and gas... some agriculture... But there still have to be days like this one, when everything from ConocoPhillips (COP) and CVRD (RIO) and even the sainted Potash (POT) go down... I need you to think, though, opportunity, not enemy...

See, those are still buys, when the smoke clears, not sells. Why? They don't need the money. They don't need the consumer. They don't need oil and gas. They don't buy raw goods. The only thing they buy is their own stock... something, by the way, that really exacerbated the problem today... because, did you know that companies are forbidden to buy their own stock at the end of the quarter... which is why things were particularly egregiously ugly today.

I do not have a solution for this moment.

Every night, I come out here and proclaim that I am worried about WB, including the dividend... Washington Mutual (WM), a Wall of Shame stock... Bank of America (BAC), dividend too high... Citigroup (C), you know I hate it... sell it. American International Group (AIG), please... Fannie Mae (FNM), Freddie Mac (FRE)... (bear sound for all)....

You know I'm fearful about General Motors (GM) and Ford (F)... Sell, sell, sell... You know I don't like retail or the airlines or the homebuilders or banks or technology...

It doesn't leave much, does it?... Except for the usual Cramer suspects that you know so well... that you should be circling your wagons around...

Gold... which I always say is part of a diversified portfolio as insurance against days like today... That's what I'm doing for my charitable trust... which is beating the heck out of the market... but is still losing money, despite diversification and lumps taken.

Judging by the miserable way the market went out today, I don't think we're done with the selloff. I don't want to be a Pollyanna by any means... And that means you need to have more cash. If you don't have enough cash, sell something... sell something you don't like.

I sense you'll need it, and you'll be able to buy things at lower prices... but not right now.

What do I think will rally first, when we come back? What shouldn't you sell?... The stuff that is in short supply and the stuff that rallies in recessions...

So, natural gases... Chesapeake (CHK). Oil services... Schlumberger (SLB). It's the Heinz (HNZ), the GlaxoSmithKline (GSK), along with anything that China needs... They're out of steel, they're out of copper, they're out of oil, they're out of coal... So I think you should buy those now - or, at least, don't sell them - in expectation of a turnaround.

If you're in the banks... if you're in the retailers... if you're in the autos... if you're in aerospace, I think you should sell, okay... Raise cash. Don't hope. Hope is not part of the equation.

We need to raise cash to pay for the recession-proof stocks and the stocks of companies that sell what China needs.

When we get into the light in the tunnel, and I do not believe it's a train coming at us, those stocks will recover first.

Here's the bottom line...

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