The CNBC Investing Club with Jim Cramer offers an actionable afternoon update called the Homestretch every weekday, just in time for the last hour of trading on Wall Street. The S & P 500 has been rallying for five consecutive sessions, up nearly 4% for the week and almost completely erasing the previous week’s sell-off. Tech stocks, particularly semiconductor companies like Nvidia, Broadcom, and Advanced Micro Devices, have been the big winners, with all three posting double-digit percentage gains this week. The tech sector in the S & P 500 has climbed more than 7% week to date, followed closely by consumer discretionary, which is up just over 6%.
However, energy was the lone sector in the red for the week, with U.S. oil futures struggling and trading below $70 per barrel. Financials also underperformed this week, up roughly 0.6%, after a downbeat update on interest income from JPMorgan’s chief operating officer at a conference. An analyst call that was not covered in the Morning Meeting was Citi resuming coverage on Eli Lilly with a buy rating and a price target of $1,060 a share. Despite this, the stock was trading lower on Friday. Lilly had announced plans to invest $1.8 billion in manufacturing across two facilities in Ireland, with $1 billion going towards increasing production of biologic active ingredients for Kisunla, Lilly’s recently approved treatment for early symptomatic Alzheimer’s disease.
The big event coming up is the Federal Reserve’s two-day policy meeting next week, which will wrap up on Wednesday. The central bank is expected to lower rates for the first time since 2020, and members of the Federal Open Market Committee will update their economic projections for 2024 to 2026. The most scrutinized aspect will be the dot plots, which show individual central bankers’ expectations of future interest rates. 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, and if he has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade.
The CNBC Investing Club with Jim Cramer does not create a fiduciary obligation or duty by providing information, and no specific outcome or profit is guaranteed. The tech sector in the S & P 500 has been a standout performer for the week, with semiconductor companies leading the way. Despite overall market gains, energy and financials have been underperformers. An analyst call on Eli Lilly by Citi resuming coverage with a buy rating and a price target of $1,060 a share did not significantly impact the stock’s performance, despite Lilly’s plans to invest $1.8 billion in manufacturing facilities in Ireland.
Next week, the Federal Reserve’s two-day policy meeting will be closely watched, as the central bank is expected to lower rates for the first time since 2020. The dot plots, showing individual central bankers’ expectations of future interest rates, will be a key focus. Subscribers to the CNBC Investing Club with Jim Cramer receive trade alerts before Jim makes a trade, with specific waiting periods before executing trades to maintain transparency and fairness. The information provided by the Investing Club is subject to terms and conditions, privacy policy, and disclaimer, and does not guarantee any specific outcome or profit.
