Jim Cramer’s Investing Club meeting Friday: Inflation, semiconductors, Salesforce
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 Friday’s key moments. Watch wage inflation Be wary of Intel readthrough Don’t sell Salesforce 1. Watch wage inflation Stocks rose on Friday after the U.S. Commerce Department released its monthly personal consumption expenditures price index — the Federal Reserve’s preferred inflation metric — showing a 4.4% increase for December. That’s the slowest annual uptick since October 2021. But that doesn’t mean the battle with inflation is over. While layoffs have hit the tech industry hard, for retail stores and restaurants like Walmart (WMT) and Chipotle Mexican Grill (CMG), hiring and retaining workers remains a struggle . As a result, wage inflation is still an obstacle for the Fed as it considers whether to slow the pace of interest rate hikes. 2. Be wary of Intel readthrough Intel (INTC) reported a sizable miss on fourth-quarter earnings Thursday that showed significant declines in sales, profit and gross margins, largely the result of a chip glut . But we urge investors not to look at Intel’s bleak quarter as a readthrough to Club holdings Advanced Micro Devices (AMD) and Nvidia (NVDA). Intel has been losing market share, while our chip stocks are high-quality companies that offer better products and services. Shares of AMD rose around 0.5% Friday, to $75.55 apiece, while Nvidia stock climbed roughly 1.3%, to $200.67 a share. 3. Don’t sell Salesforce Salesforce (CRM) on Friday announced the appointment of three new board members . It’s a much needed shakeup, with the enterprise software company facing slowing growth, a leadership turnover, layoffs and intensifying pressure from activist investors. Shareholders should welcome the news and maintain their Salesforce positions. Shares of the company were up nearly 0.5% in midmorning trading Friday, at $165.93 apiece. (Jim Cramer’s Charitable Trust is long AMD, NVDA, CRM. See here for a full list of the stocks.) 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.
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