Cramer Prepares Portfolio for Inflation

CNBC's Jim Cramer is making some adjustments to his portfolio in response to rising oil prices and interest rates. He says he's increasing his exposure to defensive stocks, which tend to perform well during times of economic uncertainty.

One of the moves Cramer mentioned was adding to his holdings in energy companies that have strong balance sheets and low debt levels. He specifically mentioned ExxonMobil (XOM) as an example, saying it's 'a great stock' despite oil prices rising.

Cramer also highlighted the importance of dividend-paying stocks during times of inflation, pointing out that 3M (MMM) is a company with a long history of consistent payouts. He noted that investors should focus on companies with strong cash flows and low debt-to-equity ratios.