Jim Cramer made some predictions about the stock market in 2016 while answering viewers’ social media questions on the floor of the New York Stock Exchange Tuesday. Cramer said he wouldn’t be surprised to see Exxon Mobil (XOM) and Chevron (CVX) make some acquisitions. He also expects Eli Lilly (LLY) will go to $100 a share as investors start seeing some results from its Alzheimer’s drug. Cramer was asked about technology companies IBM (IBM) and Hewlett Packard (HPQ). Cramer said only about 28 percent of IBM’s business is fast growing, and that the company needs to make an acquisition to spur growth. Cramer said he’s not interested in either Hewlett Packard or its spin-off, Hewlett Packard Enterprise (HP), until he sees a couple of quarters of earnings. He does thinks the printer and PC business should buy Lexmark (LXK). A viewer asked whether to hold Rite Aid (RAD), and Cramer said he’s not sure if its deal with Walgreens (WAG) will win approval, but if you want to be an arbitrageur you hold onto it. Cramer was asked, if you could start a new position in either Disney (DIS) or Apple (AAPL) which would you choose? Cramer responded that he likes Disney because it has some catalysts ahead of it, while Apple does not. Cramer was asked about Bank of America (BAC), which he thinks could go to $20, depending on the course of future interest rate increases by the Federal Reserve. More aggressive rate increases would benefit the bank. ’ You can send your questions to Cramer on his Facebook(FB) page, or on Twitter(TWTR), where he’s @jimcramer. Use hashtag CramerQ.
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