Jim Cramer says don't bite on Apple sell call; buy his new chip favorite
Every weekday, the CNBC Investing Club with Jim Cramer holds a "Morning Meeting" livestream at 10:20 a.m. ET. Here's a recap of Tuesday's key moments. 1. Stocks rose Tuesday after a cooler-than-expected June consumer...
S&P 500 (SPY) Temmuz'da (DÜŞÜK) 730 Doları vuracak mı?
Here is a story making headlines in the economy: Every weekday, the CNBC Investing Club with Jim Cramer holds a "Morning Meeting" livestream at 10:20 a. Here's a recap of Tuesday's key moments. Stocks rose Tuesday after a cooler-than-expected June consumer inflation report eased concerns that the Federal Reserve would need to raise interest rates this month.
While the inflation data boosted the broader market, software stocks came under heavy pressure after IBM preannounced a weaker quarter due to softness in its software business. IBM attributed the challenges to customers shifting spending toward servers, storage, and memory. IBM shares plunged roughly 26% on the session, putting the stock on track for its worst day since October 1987.
Economic Details
Jim Cramer said the warning underscores how AI-related spending continues to migrate toward infrastructure and cybersecurity. Shares of Apple slipped nearly 1% after KeyBanc downgraded the stock to an underweight sell and lowered its price target to $250. The Club stock closed at $317 on Monday.
The analysts argued that U. wireless carriers are scaling back device subsidies, which could slow iPhone upgrade cycles and make Wall Street's growth expectations too optimistic. KeyBanc also warned that recent price increases on Macs and iPads could weigh on unit demand and eventually slow Apple's high-margin services business.
Jim dismissed those concerns, arguing they rely too heavily on assumptions about Apple's business. "That's all conjecture. I don't want conjecture.
Analyst Views
I want facts," he said. Arm Holdings fell more than 5% after HSBC downgraded the stock to hold, citing near-term foundry capacity constraints that could limit earnings growth. Jim said the report reinforces why the Club recently exited its position in Arm to buy more shares of Intel .
While he praised Arm CEO Rene Haas, Jim said that Arm depends on third-party foundries to manufacture its chips. By contrast, he noted that Intel is expanding its own manufacturing footprint. "I think Intel's such a buy here," he said.
Stocks covered in Tuesday's rapid fire at the end of the video were: Capital One , Bank of America , JPMorgan , Johnson & Johnson , and HCA . (Jim Cramer's Charitable Trust is long AAPL, INTC. See here for a full list of the stocks.
Economists are analysing what the news means for the markets.
