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 Monday’s key moments. The Dow Jones Industrial Average and S & P 500 reached record highs Monday as investors awaited more quarterly earnings and considered the impact of an attempted assassination of former President Donald Trump. Morgan Stanley posts financial results Tuesday, while fellow portfolio name Abbott Laboratories reports Thursday. Monday’s gains brings the market further into overbought territory, which led us to trim some TJX Companies on Friday afternoon to book profits and raise some extra cash. Wells Fargo stock climbed 2.5% Monday, clawing back from last week’s big post-earnings drop. Shares tumbled 6% Friday after net interest income (NII), an important measure of profitability for the firm’s lending activities, missed analysts’ expectations. Jim Cramer said Wells is a portfolio stock that will rise once the Federal Reserve lowers rates, leading to a rebound in the bank’s interest-based revenues. This, along with management’s push into fee-based businesses like investment banking, continue to make Wells attractive. In his Sunday column , Jim said Best Buy and Costco Wholesale are buys. Sales for the electronics retailers will surge as customers upgrade their PCs for newer models with artificial intelligence integration. Costco shares also dipped 5% last week, a pullback that had nothing to do with company’s fundamentals. In fact, the big box retailer last week announced its long-awaited membership fee increase — that will go into effect on Sept. 1 in the U.S. and Canada and should be a catalyst for the stock. (Jim Cramer’s Charitable Trust is long WFC, MS, ABT, TJX, BBY, COST. See here for a full list of the 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 a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Why Wells Fargo shares will rise once the Fed starts cutting interest rates
