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 Friday’s key moments. Stocks under pressure On a buying spree More bank drama? 1. Stocks under pressure The decline in the market — with the S & P 500 down more than 1% in midday trading — has only intensified since Friday’s “Morning Meeting,” reflecting investor concerns that the banking sector is still at risk in the wake of the collapse of Silicon Valley Bank (SVB) and Signature Bank. Jim Cramer noted Friday that the U.S. government has not explicitly committed to guaranteeing all bank deposits. Wall Street’s response to the banking mess has been bifurcated as investors seek out bulletproof balance sheets, which so happen to be in Big Tech . Jim said it’s as if the Nasdaq is trading like Bitcoin and the S & P is trading like it’s the end of the world. Neither of which are true, he added. 2. On a buying spree The Club has been buying so much during this volatile week because we believe there are companies whose future potential depends very little on the banking fallout. There is so much focus on what can go wrong that Jim believes people have forgotten what happens when things go right. The bank issues may, indeed, stay the Federal Reserve’s hand next week. The market is not ready to believe that, but even a small interest rate hike is better than expectations before the SVB and Signature failures. 3. More bank drama? Last weekend was nerve-wracking with the SVB fallout, and this weekend might also see some drama. Despite all those banks putting deposits with First Republic Bank (FRC), it didn’t seem to do the trick to ease fears in the market. But, hypothetically, if there were a positive development over the weekend and/or the Fed next week holds off on lifting rates, the market could take off. The S & P 500 Short Range Oscillator we depend on is showing a very oversold market, and our posture when that happens is towards…
Read the full article here
