Stocks have been sliding in September, with the S & P 500 down about 1.7% on Friday and on track for its fourth consecutive day of declines. The Nasdaq Composite is also lower by roughly 2.5%, particularly due to heavy selling pressure on technology stocks, including semiconductor firms. Club holding Broadcom saw its stock drop more than 9% on Friday after their earnings report, adding to the pain felt in the market. A popular exchange-traded fund for chip stocks is down more than 11% over the past four sessions, marking its worst week since January 2022. Despite the downturn, it is important to note that the S & P 500 is still trading above its August 5 close, when the yen carry trade caused a forced liquidation of equities.
The August jobs report brought some relevant news for Club holding Constellation Brands, as the broader unemployment rate ticked lower but rose for Hispanic and Latino workers. Constellation Brands reported that more than half of its customer base are Hispanic Americans, and the increase in unemployment has led the company to lower its beer net sales guidance. However, Constellation’s shares have been holding up better than the overall market, as defensive stocks like consumer staples tend to perform well in times of economic uncertainty. The Investing Club continues to monitor Hispanic employment trends and their potential impact on Constellation’s market share and free cash flow.
Next week, there will be an earnings lull with only three companies in the S & P 500 scheduled to report earnings: Oracle, Kroger, and Adobe. Economic reports on the consumer price index, producer price index, and initial jobless claims will also be closely watched. The September Monthly Meeting is scheduled for Thursday, where members will have the opportunity to discuss market trends and potential investment opportunities. As a subscriber to the CNBC Investing Club with Jim Cramer, members receive trade alerts before Jim makes a trade, following specific protocols to ensure transparency and integrity in the investment process.
As a subscriber to the CNBC Investing Club with Jim Cramer, members will receive the Homestretch – an actionable afternoon update released every weekday just in time for the last hour of trading on Wall Street. Stocks have been experiencing a downturn in September, with both the S & P 500 and Nasdaq Composite seeing declines. Club holding Constellation Brands has been monitoring Hispanic employment trends and the potential implications for their market share and free cash flow. Next week, there will be an earnings lull with only three companies in the S & P 500 scheduled to report earnings and key economic reports on inflation and jobless claims to be released.
The CNBC Investing Club with Jim Cramer provides members with trade alerts before any trades are made, following specific protocols to ensure transparency and integrity in the investment process. Despite the recent market downturn, the club remains vigilant in monitoring market trends and identifying potential investment opportunities.Investing Club information is subject to terms and conditions, privacy policy, and disclaimer. No fiduciary obligation or duty exists by virtue of receiving information from the Investing Club, and no specific outcome or profit is guaranteed. Members will have the opportunity to participate in the September Monthly Meeting to discuss market trends and potential investment strategies.
