Every weekday the CNBC Investing Club with Jim Cramer holds a “Morning Meeting” livestream at 10:20 a.m. ET. Here’s a recap of Tuesday’s key moments. 1. Stocks are rallying Tuesday after the October consumer price index (CPI) came in cooler than expected, increasing expectations that the Federal Reserve is done raising rates. This is great news for our stocks. “We’ve been big fans of what [Fed Chair] Jay Powell is doing and staying the course and our portfolio reflects that,” Jim Cramer said Tuesday. Treasury yields fell sharply, with the 10-Year dropping below 4.5%, its lowest level since late September. In addition, the dollar index fell to its lowest level in several weeks, which helps multinationals like Procter & Gamble (PG) that benefit from the weaker dollar. Jim Cramer says PG is a buy here . 2. Other names in the portfolio should get a boost from the end of the hiking cycle. Stocks tied to housing like Stanley Black & Decker (SWK). Ford (F) as auto loan rates come down. High-multiple stocks in software and chips that should see PE expansion. Morgan Stanley should get a lift as investment banking activity returns. In the company’s post-earnings call in October CEO James Gorman said: “The minute you see the Fed indicate they’ve stopped raising rates, the M & A and underwriting calendar will explode because there is enormous pent-up activity.” 3. Nvidia (NVDA) is on pace to notch its 10th consecutive session of gains, its longest streak since December 2016. Morgan Stanley raised its revenue estimates for the January quarter by about $1.5 billion and fiscal year 2025 by nearly $6 billion. The analyst says the data center supply chain continues to ramp rapidly. Shares of NVDA are up more than 2% this morning. “They’re basically making gold, and gold is in short supply,” Jim said. 4. Club holding TJX Companies (TJX) reports third-quarter earnings Wednesday before the bell. Off-price should be one of the few groups in retail that is thriving right now because…
Read the full article here
Leave a Reply