Boeing is taking the right approach to new planes. Also, a warning this income season
Every weekday, CNBC Investing Club with Jim Cramer hosts a live “Morning Meeting” broadcast at 10:20 am ET. Here’s a recap of Monday’s highlights. 1. Wall Street was mixed on Monday as semiconductor stocks rallied from last week’s big sell-off and oil prices fell after Iranian officials signaled a willingness to pursue diplomacy despite ongoing US strikes. While Chinese startup Moonshot AI has raised new concerns about AI competition, Jim Cramer said the recent weakness reflected broader strength as investors pumped cash instead of a fundamental change in the AI story. “It doesn’t matter what you think; it matters what they think,” he said. “They think, ‘I have to get out. I need money,’ and it’s a relief.” He added that even investors who remain bullish on the long-term view should expect continued volatility. “You can own those stocks, but you have to expect that at some point during the day they might be down.” 2. Intel’s management team reports earnings after the close on Thursday, with investors looking for updates on the company’s central processing unit (CPU) business, third-party operations, and improved packaging plans. Jim said he expects Intel to deliver a “very good” quarter but cautioned that, in the current market, strong results do not guarantee a positive stock reaction. Portfolio manager Jeff Marks pointed to Taiwan Semiconductor Manufacturing Co.’s recent earnings decline. as an example of how investors have been selling chip stocks despite higher fundamentals. “I don’t think that’s an unusual expectation” for Intel, Jim said. 3. Shares of the Boeing group fell more than 2% after CEO Kelly Ortberg told CNBC in an interview that the company is still focused on strengthening its balance sheet before launching a new plane. “I would argue that’s the right thing to do,” Jeff said. Jim said that message underscores the importance of management improving performance and increasing production in the current system, rather than rushing to introduce another aircraft. He added that aerospace remains in “good shape” for a long time despite the ongoing conflicts in the Middle East. The war is the reason it is not a “good situation,” he said, although “I think the war will go away.” 4. Stocks covered in Monday’s rapid fire at the end of the video were: Yeti , SpaceX , Domino’s , and Charles Schwab . (Jim Cramer’s Charitable Trust is long BA, INTC. See here for a full list of stocks.) 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 stock in his charity portfolio. When Jim talks about a stock on CNBC TV, he waits 72 hours after issuing a trade warning before making a trade. THE PRIVATE INFORMATION OF THE BURNING CLUB IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, AND OUR PRIVACY POLICY. NO LEGAL LIABILITY OR OBLIGATION EXISTS, OR IS CREATED, BY YOUR ACCEPTANCE OF ANY INFORMATION PROVIDED BY CONTACTING THE INVESTMENT CLUB. NO PARTICULAR RESULT OR INTEREST IS GUARANTEED.
