Cramer's Morning Take: China Data Miss 8/15/23

SPEAKER_1 (0:00)

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Jim Cramer (0:28)

I'm Jim Cramer, and you're about to hear a sample taken directly from today's CNBC Investing Club morning meeting.

I think it's an important moment, because I think that this market is reacting to things that are happening in China, and the Chinese actually have a controlled economy, so they can actually get their economy going if they want to. Industrial output is low, retail sales are up, but I want to remind people that in the old days, what would happen, I think we have had the old days, this is a demarcation point. China, over there, not important. We've made them less important simply because of our policies. Our market should trade on its own.

Jeff Marks (1:11)

Yeah, and we actually had some pretty good retail sales numbers showing some more resilience from the consumer.

Those numbers were better than expected, up 0.7 month over month, beating estimates of 0.4. Important because this was also the Amazon Prime Day month, so a good sign of strength there.

Jim Cramer (1:32)

By the way, by the member, we're focused on the fact that the Fed has raised rates endlessly, and we still have a consumer strong. This is all part of my thesis that we're not having a soft landing or hard landing, we're not landing. And that's good.

Jeff Marks (1:43)

So you had yields surge initially right after the news came out. They've come back a little bit, but at one point, the 10-year yield was as high as it's been since last October. The two-year yield was above five. So these are some important figures.

Jim Cramer (1:56)

I think that what people have to recognize, away from the conventional wisdom, is you actually want the longer rates higher. Why do you want that higher? Because it shows that there is not, we don't have deflation in this country. We have a strong economy. Maybe it's a strong economy, the Fed has to raise rates again. I would have to argue that they would. But there's a lot of stocks that are down off of China.

I've been watching, for instance, the, lately we've seen the travel stocks there.

A lot of people feel that that's peak. When I speak to Steve Schur, it hurts. He tells me otherwise. They look at Airbnb, Brian Chesky saying things are otherwise. Marriott thinks they're otherwise. I just simply, Delta obviously believes otherwise. I just think there are a lot of theses that are still in track. I think aerospace is very on track, which is why I'm after you to buy some Honeywell. I know that that has been a sticking point because we've been trying to be very disciplined about where to buy Honeywell. But I just happen to like the tape. And I like the tape enough that we actually committed some money right here, right now, into Oracle.

Start your day with my outlook on the daily market every morning at 10:20 a.m. Visit cnbc.com/morningtake to access all the benefits of being a CNBC Investing Club member.

SPEAKER_4 (3:06)

All opinions expressed by Jim Cramer on this podcast and in connection with the CNBC Investing Club are solely Cramer's opinions and do not reflect the opinions of CNBC, NBC Universal, or their parent company or affiliates and may have been previously disseminated by Cramer on television, radio, internet, or another medium. No specific outcome or profit is guaranteed in connection with your reliance upon or other use of the content from Cramer. The opinions offered in connection with this podcast and the CNBC Investing Club are not an attempt to induce any particular trading behavior, investment, or strategy. You should be aware of the risk of loss in following any strategy or investment discussed in the content from Cramer. To view the full CNBC Investing Club Disclaimer, please visit cnbc.com forward slash investing club disclaimer.

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