Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. (We’re no longer recording the audio, so we can get this new written feature to members as quickly as possible.) Fed wildcard: Wall Street was trying to make a stand Tuesday following back-to-back sharp declines. The wildcard going into the close was once again the Federal Reserve after central bank chief Jerome Powell said at an event that he sees a “lack of further progress” this year on inflation. Powell said it’s “likely to take longer than expected” to get down to the Fed’s 2% target. Jim Cramer has been saying the economy is too strong, and the risk of rekindling inflation is too great, for the Fed to cut rates any time soon. Bond yields continued higher as Powell added more fuel to the idea of rates being higher for longer. Market moves : The Dow Jones Industrial Average , the S & P 500 and the Nasdaq were trading on either side of the unchanged, despite Powell’s comments. What he said was not that different than the tone he’s been setting recently, so maybe that’s why the market didn’t move much. “Expect continued volatility as the market tries to figure out what lies ahead with geopolitics and inflation,” Club Director of Portfolio Analysis Jeff Marks said Tuesday afternoon. Earnings power : For most of the day, the Dow was slightly higher, following a batch of largely positive corporate earnings. UnitedHealth was, by far and away, the biggest Dow stock gainer, up nearly 5% after a nice quarter. Not a Dow stock, but Morgan Stanley was among Tuesday’s best S & P 500 performers, and it was also our top portfolio name on the session. Shares gained more than 2% after the financial giant delivered a nice quarter. Abbott Laboratories and Procter & Gamble report their quarters on Wednesday and Friday, respectively. Tuesday’s trades : The S & P 500 Short-Term Oscillator has moved firmly into oversold territory, which is our signal to think about what we can buy. On Tuesday, we added more Best Buy as we continue to build out our newest Club position. We also bought more shares of Mexican beer king Constellation Brands after it was unfairly punished and more Coterra Energy as a hedge against any further flare-ups in the Mideast and/or Ukraine. (See here for a full list of the stocks in Jim Cramer’s Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. (We’re no longer recording the audio, so we can get this new written feature to members as quickly as possible.)
