Big Banks’ Earnings Kickoff , Nvidia Rallies, Inflation Rises 7/15/25

SPEAKER_1 (0:00)

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Jim Cramer (0:47)

It's Jim Cramer here. You're listening to the opening bell of CNBC Squawk on the Street. Don't miss a minute of the action.

Carl Quintanilla (0:55)

Good Tuesday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer here at Post Night of the New York Stock Exchange. Faber has the warning off. Bull's taking advantage of this important move by the US to loosen Nvidia's chip export restrictions. Meantime, June CPI is mostly in line, although the year on year accelerates to the highest in four months. Our roadmap begins with the banks, JPM, Wells, Citi, BlackRock, all out with Q2 results. Nvidia will open at some new highs this morning. The company resuming sales of those H20s to China just days after Jensen Wong met with the president and then inflation picking up again, but as we said, largely in line with forecasts. Let's begin with the bank earnings this morning, kicking off earnings season. Jim, there's a lot to get to. Is JPM the best of the bunch?

Jim Cramer (1:41)

Right now, yeah. Well, no, people are gonna say Citi no matter what. That's just what they do. There's just a halo around Citi. I want to disagree with a lot of the action in the stocks. I think JP Morgan actually is much better, was up a couple of bucks when it started. It's just a clean number. The Wells is really important because there's some things that people don't understand. I spoke to Charlie this morning. Charlie, Charlie, see you. The issue with Wells is that they are actually transitioning to a bank that's going to lend a lot more than just look for net interest income. In order to be able to reposition themselves like that, you're gonna see a drop in NII, but they haven't been able to lend the way they'd like to. They haven't been able to use the capital they would want to. Now, did he communicate this well enough?

Charlie just says, listen, why don't you just read it and figure it out? I mean, I like Charlie very much, but I think people are not gonna do that. They're gonna say, oh, net interest income down. They're not gonna listen to what Charlie's really saying, which is the bank's back. We are a lending bank. We are a trading bank. We are an investment bank, and we're gonna use the money. We're not gonna just have the money sit there to please Wall Street. I say amen, buy the stock.

Carl Quintanilla (2:48)

Yep, the guide is light on NII, down 2% year on year. IB go up nine, and across the board on the big ones, provisions, really nothing of matter, not a concern.

Jim Cramer (2:59)

He struggles to say that things are stronger, that people just don't, it's not weaker at all. I'm glad you mentioned investment banking. Remember, this guy's in a difficult transition in the sense that he just got this cap lift, lifted of what he can do. And so he's focused on playing offense. Now, the street wants defense.

The street wants you to sit there and make money on the interest curve. And he's saying, no, we're not going to do that. We've been waiting for the cap to end. Now we're going to charge. Now let the stock come down if we want to. I mean, the stock's been the best performer. But one of the reasons why the best performer is Charlie's reinventing Wells into a machine. Now I think people forget that Wells used to be the premier bank with the highest price journeys possible. It was also the Warren Buffett Bank in Italy, and that's no longer the case. But I'm thrilled with what he's doing. It's a very large position for a travel trust, and I just can't wait to buy more.

Carl Quintanilla (3:47)

We had him on a few weeks ago when the cap got lifted, and it's clear they want to make up for the limitations on share that hobbled them for years.