Every weekday, Jim Cramer’s CNBC Investment Club releases the Homestretch, a practical afternoon update to coincide with the last hour of trading on Wall Street. (We are no longer recording audio, so we can get this new article to our members as quickly as possible.) Market decline: Fears of a resurgence in inflation and a possible Iranian attack on Israel led to Stock prices have fallen. The Dow, S&P 500 and Nasdaq were all down more than 1% each during trading, continuing their downward trend for the week. Even Friday’s drop in bond yields didn’t help stocks, as it often does. Flight-to-safety trades (bond purchases that meant lower yields) were evident, and rising oil prices due to Middle East concerns were also a headwind. A recent intensification of upward price pressures also weighed on the market on Friday, after a University of Michigan consumer sentiment survey showed both year-on-year and long-term inflation expectations rising. Investors were already on edge after Wednesday’s rise in the consumer price index for March. As Jeff Marks, the club’s director of portfolio analysis, said during Friday’s morning meeting, Friday’s weakness on Wall Street could push the overall stock market into oversold territory. Find out when the S&P 500 Short Range Oscillator is released after the closing bell. In oversold markets, our club discipline requires us to look for stocks to buy. Marks said Friday that he is considering adding Best Buy next week as well. He also said beer giant Constellation Brands could be another bearish buy for club members who don’t already own a beer. Constellation reported a solid quarter on Thursday. Middle East concerns: West Texas Intermediate crude, the U.S. oil benchmark, soared Friday on Middle East supply concerns, at one point exceeding $87 a barrel. A clear risk of Iranian aggression has smoldered since last week, when Israel launched a deadly missile attack on the Islamic Republic’s consulate in Damascus, Syria. Iranian proxies have been firing on the Jewish state in recent months as the war between Israel and Hamas escalates. WTI has had its ups and downs over the past few sessions, and despite Friday’s gains, it looks like it’s headed for a down week. 3 Weekly Winners: Despite being all red this week, there were some green stocks in the portfolio. Palo Alto Networks rose nearly 4% for the week. Tuesday was particularly strong after the cybersecurity company announced an expanded partnership with Google Cloud. The Google Cloud Next event, which began on Tuesday, also boosted Alphabet’s stock by more than 3% this week. Apple’s roughly 3.5% rise this week mirrors Thursday’s surge, the highest single session for the iPhone maker’s stock since last May. Apple’s nearly 9% year-to-date decline looks attractive to hedge fund investors, JPMorgan wrote in a note this week. 3 weeks of losses: Most stocks were in the red this week. Foot Locker has fallen more than 8% over the past five sessions. Thursday was a bright spot, with sneaker retailers filing their annual reports. But this was the only time in the past 11 that it was a boom. Ford is down nearly 5.5% this week after dropping more than 3% on Tuesday and Friday. Ford announced late Thursday that it is preparing to resume shipping the F-150 Lightning and will reduce prices on some models. Earlier Friday, we explained why Ford is hoping to take a page from its crosstown rival’s strategy. Meanwhile, Morgan Stanley fell seven times in the week following reports on Thursday that U.S. regulators, including the Office of the Comptroller of the Currency and the Securities and Exchange Commission, were investigating the bank’s wealth management business over money laundering concerns. % fell. Next week: Morgan Stanley will report earnings before the opening bell on Tuesday, following better-than-expected quarterly results from Wells Fargo, another of the company’s financial holdings, ahead of the opening bell on Friday. Abbott Laboratories and Procter & Gamble, which own the club, will also release their latest quarterly results next week on Wednesday and Friday mornings, respectively. Economic indicators for the coming week are light. Retail sales figures will be released on Monday, housing starts will be released on Tuesday, and unemployment claims will be released on Thursday. (See here for a complete list of Jim Cramer Charitable Trust stocks.) As a subscriber to Jim Cramer’s CNBC Investment Club, you will receive trade alerts before Jim makes a trade. After Jim sends a trade alert, he waits 45 minutes before buying or selling stocks in a charitable trust’s portfolio. If Jim talks about a stock on his CNBC TV, he will wait 72 hours before executing the trade after issuing a trade alert. The above investment club information is subject to our Terms of Use and Privacy Policy, along with our disclaimer. No fiduciary duties or obligations exist or arise from your receipt of information provided in connection with the Investment Club. No specific results or benefits are guaranteed.
Every weekday, Jim Cramer’s CNBC Investment Club releases the Homestretch, a practical afternoon update to coincide with the last hour of trading on Wall Street. (In order to get this new written feature to our members as soon as possible, audio recordings will no longer be made.)
