Every weekday, the CNBC Investing Club hosts a “Morning Meeting” live stream with Jim Cramer at 10:20 am ET. Here is a recap of Tuesday’s key moments: The oscillator says the market is still oversold. Our trades on DVN and CRM Labor Day. Bond yields rose after stronger-than-expected August ISM data. Investors are looking forward to the Federal Reserve meeting later this month and are wondering if its aggressive streak of rate hikes to fight inflation will continue. While we are aware of the market’s ups and downs on Tuesday, our tried and true S&P 500 Short Range Oscillator is still in very oversold territory, suggesting that now is not the best time to make a lot of sales. 2. Our trades on DVN and CRM We sold 100 shares of Devon Energy (DVN) and bought 50 shares of Salesforce (CRM) on Tuesday morning. After a strong Friday, we reduced DVN in our ongoing move to reduce our exposure to Energy on Strength. OPEC+ on Monday agreed to cut production targets by about 100,000 barrels per day from October. We’re using the money from this sale to buy stock of CRM ahead of the Dreamforce conference later this month. The stock has declined since the company’s last quarter, which we rated as solid. We like it long-term, so we added that weakness. 3. Quick Mentions: HON and LLY Deutsche Bank named Honeywell (HON) as their top pick for 2023 in a note Tuesday. The company cited a preference for companies with late-cycle end-market exposures, including aerospace and defense, oil and gas, as well as Non-residential construction – Sectors in which HON operates. Although we have given this stock a 2 rating since we reduced our position in late March, we are interested in buying back some shares. BMO raised its price target on club holding Eli Lilly (LLY) to $396 per share from $369, spurred by the approval of the company’s new type 2 diabetes drug to treat obesity. It’s also worth noting that Biogen (BIIB) will soon be announcing top-line data from a Phase 3 trial in Alzheimer’s. If the data are encouraging, it will bode well for LLY’s upcoming treatment. If Biogen’s data isn’t great, LLY stock could take a hit. In that case, we would consider adding to our position in Lilly because we think Lilly’s efforts in Alzheimer’s are superior. 4. Monitoring These Bullpen Stocks Some of our bullpen names that we monitor for buying opportunities are Palo Alto Networks (PANW), PepsiCo (PEP) and Estee Lauder (EL). The bullpen is our watch list. But there is no guarantee that we will add them to the portfolio. We currently have no plans to add Barrick Gold (GOLD) to the portfolio, which is also in the bullpen. Barrick is down 21% year-to-date. While Jim is a fan of having gold as a small position in a portfolio as an inflation hedge, we plan to take a closer look at whether Barrick should remain in the bullpen. (Jim Cramer’s Charitable Trust is long DVN, HON, CRM. For a full list of stocks click here.) As a subscriber to CNBC Investing Club with Jim Cramer, you’ll receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling any stock in his charitable foundation’s portfolio. When Jim spoke about a stock on CNBC television, he waits 72 hours after the trade alert is issued before executing the trade. THE ABOVE INVESTMENT CLUB INFORMATION IS GOVERNED BY OUR TERMS AND CONDITIONS AND PRIVACY POLICY ALONG WITH OUR DISCLAIMER. NO OBLIGATION OR OBLIGATION SHALL BE OR CREATED BY YOUR RECEIVING OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC RESULT OR PROFIT IS GUARANTEED.
Four takeaways from Tuesday’s ‘morning assembly’ of the Investing Membership
