CNBC’s Jim Cramer came out and swung Thursday, accusing world governments of selling the market and slapping executives for failing to seize the proliferation of a Covid-19 variant.
Major U.S. stock averages fell nearly 1% during the session, dropping the S&P 500 and Nasdaq Composite indices from record highs. Health concerns also led to a fall in bond yields to levels not seen since February.
The declines can be attributed to the delta tribe spreading rapidly across the globe, Cramer said.
“I put this sale all the way down to politicians around the world because right now we have a failure with global leadership,”
“Here in America, we do a much better job of getting people vaccinated than most countries, but we screwed up when we made the vaccination process voluntary.”
Cramer smashed that the U.S. Food and Drug Administration has not yet given full approval to coronavirus vaccines from e.g. Modern and Pfizer-BioNTech. Three vaccines, including a one-shot solution from Johnson & Johnson, are approved by the Emergency Management Agency to combat the health crisis and are administered to millions across the country.
Pfizer applied for FDA approval of its vaccine in May, followed by a submission from Moderna for its own product in June.
“Maybe you think it’s technical, but so many Americans do not trust the vaccines, and the lack of FDA approval certainly does not help,” Cramer said. “I challenge the FDA to explain themselves and their bad behavior.”
The Delta variant, first discovered in India and spread rapidly across the globe, is now the dominant strain affecting humans in the United States. Despite America’s elevated vaccination rate compared to most other countries, delta outbreaks elsewhere in the world could indicate outbreaks in communities here, vaccination rates are delayed.
Health experts say mandates for indoor masks and public health measures may need to be reintroduced to slow the spread of the delta variant in the country.
“If we get the COVID variants under control by forcing people to be vaccinated, I think bond yields and the stock market will start to rise again,” Cramer said. “I do not see much hope of speeding up vaccinations without paying people money or forcing them, and none of them will happen in this country.