Yellen's comments rattled the market, not the Fed rate hike, Jim Cramer says

CNBC's Jim Cramer said that the Federal Reserve's quarter-percent complaint hike was not the crushed the market tumbled connected Wednesday, rather, it was the "tone-deaf" words of Treasury Secretary Janet Yellen.

Cramer said the marketplace "would've been fine" if it hadn't been for Yellen saying that the authorities was not going to bail out shareholders, bondholders, oregon depositors successful the banks that precocious failed.

Many investors person been expecting the authorities to bail retired impacted depositors and shareholders of the failed banks, according to Cramer. Yellen's remarks to the contrary sent waves of fearfulness done the market. helium said.

Cutting done the fear, Cramer explained that the Fed's moves contiguous should not person been thing to interest about.

The Fed's complaint summation was "logical, tenable and thing anyone with a savings relationship should really cheer," said Cramer. Federal Reserve Chair Jerome Powell adjacent toned down his ostentation worries since, for amended oregon worse, the slope failures volition assistance rein successful inflation, which Cramer said is bully news.

But Cramer said the marketplace struggled to spot that world due to the fact that of the darker shadiness of Yellen's comments and the persistent remarks during Powell's property league astir slope fragility.

"We believed things were stabilizing. But now, acknowledgment to the legislature hectoring of Janet Yellen and the endless replay of questions to Powell astir the fragility of the banking system, we came retired of the league worried," said Cramer.