Every weekday, CNBC’s Investment Club with Jim Cramer hosts a live “Morning Session” at 10:20 a.m. ET. Here’s a recap of Wednesday’s key moments. We allow our stock to trade on Federal Reserve Day. Companies with pricing power are the winners. Brief mentions: CSCO, NVDA, QCOM, MRVL, CRM 1. We let our stocks trade on a day when the Federal Reserve expects the Federal Reserve to announce its third straight 75 basis point rate hike on Thursday and may provide more insight the central bank’s long-term plan in its fight against inflation. Since it’s hard to tell which way the market will go, depending on how big the interest rate is and how cocky Fed Chairman Jerome Powell looks, we plan to let our stocks run today. ​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​ in the market up, the market will continue to rise this year will it sustain. 2. Companies with pricing power are winners. In this high-inflation environment, we believe that companies that have the power to set prices, not lower them, will be the winners. These names are able to handle the many headwinds that are hampering the economy. Here are two of the club’s names that we think have price power: Apple ( AAPL ) shares rose on Wednesday, while shares of many peers fell. The company’s decision to raise App Store prices overseas to offset currency trends is likely helping to lift the stock. Jim says Abbvie ( ABBV ) has pricing opportunities, citing a JPMorgan note from Tuesday that said it sees an “attractive structure for the stock” in 2023. 3. Short Mentions: CSCO, NVDA, QCOM, MRVL, CRM Here’s a quick look at some of the club names : Jim Cramer said that while Barclays downgraded Cisco ( CSCO ) to equal weight on Wednesday, he thinks things are looking up for the company as usual. Nvidia (NVDA) CEO Jensen Huang said in an appearance on “Mad Money” Wednesday that it needs to cut back on computer graphics card inventories, but said he believes Nvidia’s new chips will revive the gaming industry. Investors who believe him could do some shopping here. But we haven’t bought back any shares yet. “The question is, will the stock price bottom before the gaming cycle?” said Jeff Marks, the Club’s director of portfolio analysis. There are also two names in the club with exciting events: The CEOs of Marvell ( MRVL ) and Salesforce ( CRM ) will appear on “Mad Money” Wednesday night. Check out the Investing Club home page for exclusive information on these chats. Qualcomm ( QCOM ) will hold an Automotive Investor Day on Thursday. We have heard that the company may disclose some of its relationships that are not known to those outside the company, and we expect that these announcements may make investors realize that the stock is too cheap. (Jim Cramer’s philanthropic fund is long AAPL, ABBV, CSCO, NVDA, QCOM, MRVL, CRM. See the full list of stocks here.) As a subscriber to the CNBC Investing Club with Jim Cramer, you’ll receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling stocks in his charitable trust’s portfolio. When Jim talked about stocks on CNBC, he waits 72 hours after issuing a trade warning before placing a trade. THE ABOVE INVESTING CLUB INFORMATION GOVERNS OUR TERMS AND CONDITIONS AND PRIVACY POLICY ALONG WITH OUR DISCLAIMER. NO FIDUCIARY OBLIGATION OR OBLIGATION EXISTS OR IS CREATED BY YOUR OBTAINMENT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTMENT CLUB. NO PARTICULAR RESULT OR PROFIT IS GUARANTEED.
3 takeaways from Wednesday’s ‘morning meeting’ – the Fed and firms with pricing power
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3 takeaways from Wednesday’s ‘morning meeting’ – the Fed and firms with pricing power
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