Cramer's Morning Take: Fed Focused 12/15/23

SPEAKER_1 (0:00)

For more than a decade, Comcast has been committed to bridging the digital divide and connecting millions to affordable high-speed internet.

But the barriers to get connected go well beyond affordability. Through Project UP, Comcast is committing $1 billion to reach millions with digital skills training, resources and opportunities needed to succeed in a digital world. Project UP, building a future of unlimited possibilities. Learn more at comcast.com/project up.

Jim Cramer (0:31)

Jim Cramer here to share with you a sample of my take on the market from today's CNBC Investing Club morning meeting.

Jeff, this is one of those days where we see that if rates stabilize, then we switch and pivot and buy different stocks. Now, why would rates stabilize? One of the things that happens to John Williams, who's a very important member of the Fed, says, listen, let's not get ahead of ourselves. We're probably not going to have cuts. Now, that directly contradicts what we heard Wednesday. People may say, we heard it wrong Wednesday. No, we heard Dot Pot that says there could be three cuts. We heard nothing from the Fed, from Jay Powell, that it didn't indicate that they were going to cut. So I'm not sure. Williams comes in, tries to walk it back, and then a lot of people sell stocks.

I just feel like let's stay focused on the Fed. Let's stay focused on what Jay Powell says, which says get ready for cuts.

Jeff Marks (1:24)

And stay focused on the data too. And if you listen to the conference call last night from Costco, we can talk more about that in a minute. They're talking about inflation down to to 1 percent and potentially that staying there for a while. Below the mandate. Exactly. So I think if we just focus on that, then the conversation around cuts will be had.

But yeah, maybe not a surprise to see one Fed lieutenant kind of try and walk back a little bit of what Powell said.

Jim Cramer (1:54)

But I'll tell you what's interesting. This stock was down $4 on the same information last night.

But that's because people are thinking rates are going to keep going lower. If rates stabilize, then this stock goes up $22. Now, can I just say, when I see I think Costco is amazing, I never like up $22, $23. And yet we're getting that for this and for broadcast. And I say that, I don't like up because it's not that it's too far too fast. I'm not saying that. I'm just saying it attracts sellers.

And I don't want anything to attract sellers because I like our stocks to go up like this.

Jeff Marks (2:26)

Well, the nice thing is that one of the catalysts for Costco that we've been talking about for well over a year, it finally hit last night. And that's that they announced a special cash dividend, $15, $5 more than the last time they announced one in 2020

So it's great to see something that even, that the market has been anticipating. The news hit and it's even rallying off that, which is nice to see.

Jim Cramer (2:53)

Join the CNBC Investing Club with Jim Cramer to catch my member exclusive morning minis every day at 10, 20 a.m. Visit cnbc.com/morningtake to become a member today. That's one word, morning take.

SPEAKER_4 (3:11)

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.

SPEAKER_5 (3:54)

At FedEx Office, we're here with a holiday cheer and expertise to help get your small businesses to-do list done. Let us help you slay the holidays with the products, services, tools and timelines that will make your business bright.

Create more happy for the holidays at office.fedex.com.