The CNBC Investing Club with Jim Cramer releases the Homestretch every weekday, providing an actionable afternoon update for the last hour of trading on Wall Street. The S&P 500 spent Friday’s session mostly unchanged as it aimed for a fourth record close during the week. The August reading of the Fed’s favorite inflation gauge was tame, and other reports throughout the week indicated a healthy economy, reassuring investors that the interest rate cut was not made out of fear of stalling growth. Despite a down session on Wednesday, the S&P 500 was on track for its sixth weekly gain in the past seven. The S&P Short Range Oscillator remained firmly overbought for eight sessions, leading to small sales in certain stocks to trim in overbought markets.
As September comes to an end, the S&P 500 is expected to finish the month with a solid gain, potentially marking the first positive September in five years for the broad market index. Additionally, the third quarter on Wall Street is coming to a close, with the potential for the S&P 500 to finish the past three months in the green, its fourth positive quarter in a row. Notably, consumer discretionary, utilities, and materials were the best-performing S&P 500 sectors for the month, while utilities, real estate, and industrials were tops for the quarter. Honeywell announced an annual dividend increase of 4.6% to $4.52 per share, providing additional capital returns to shareholders. However, despite being a tough stock to own this year, Jim Cramer has kept Honeywell in the portfolio due to the significant value in its individual businesses.
Looking ahead, the big economic number for the week will be Friday’s job report for September, with Wall Street analyzing the data for clues on potential rate cuts by the Fed at its November meeting. Following last week’s 50-basis point rate cut, the Fed is expected to cut rates by 75 basis points before year-end. The only Club name reporting earnings in the upcoming week is Constellation Brands on Thursday. Subscribers to the CNBC Investing Club with Jim Cramer receive trade alerts before Jim makes a trade, with a waiting period before executing the trade to ensure compliance with guidelines. It is important to note that there is no fiduciary obligation or duty created by receiving information from the Investing Club, and no specific outcome or profit is guaranteed.
In conclusion, the Homestretch released by the CNBC Investing Club with Jim Cramer provides valuable insights and updates on the market, allowing investors to make informed decisions during the last hour of trading on Wall Street. Despite mixed market conditions, the S&P 500 has shown resilience and potential for gains, with positive performances in various sectors. Dividend increases from companies like Honeywell offer additional benefits to shareholders. Looking ahead, key economic data and earnings reports will be closely watched, providing insight into potential market moves and rate cuts by the Fed. Subscribers to the CNBC Investing Club with Jim Cramer receive timely trade alerts and guidance to navigate the ever-changing market landscape.
