How does this drug stock put the case at rest?

The stock market was about to be sold, but the Federal Reserve has certainly helped revive the pain, Cramer said Friday.

"That's exactly what happens when the Federal Reserve Chairman tells us that he might have to exceed his rate hikes to make sure that inflation is under control," he said. did he declare.

Cramer was referring to Thursday's comments from Fed Chairman Jerome Powell on the fact that it was "very far" from neutral interest rates, a sign that the central bank was seriously considering its future rate hikes .

"It will be difficult for equities to stabilize until it comes back on these words, or at least that it says that it will make its decisions based on the data rather than to give us a series of parallel rate increases, autopilot rates, that the economy has as it is with these employment reports, may not be able to handle, "said Cramer.

And with the latest report on non-farm wages released by the Department of Labor and showing a job creation lower than that expected by many, Cramer said that a little wage inflation would not be as detrimental to the economy as the Fed seems to think.

He admitted, however, that the Fed was not the only force pushing the stock. The strength of the US dollar, higher bond yields and higher mortgage rates all contributed to the decline, he said.

"I see housing, cars and now, after this week, maybe even a slowdown in retail sales, so it's quite possible that the Fed is already ahead of the curve in the fight against Inflation, "said Cramer. "At the end of the day, they can only control too much, and these three industries are really telling us that rate hikes are already working the way they are supposed to."

Keeping this in mind, he turned to his game plan for the coming week, which will include key economic data and profit reports from major banks. Click here for more.