Cramer's Morning Take: Honeywell 11/8/24

Jim Cramer (0:02)

Hey, it's Cramer, and this is my morning take on the market from today's CNBC Investing Club Morning Meeting. Since a bit of, let's say, tiredness on the part of many players, but it doesn't matter, because this bull market is not going to get tired. And one of the reasons it isn't is that, incredible, the bond yields have actually dropped.

Jeff Marks (0:24)

Isn't that surprising, especially after what happened Wednesday, you actually have the yields now lower on the week of...

Jim Cramer (0:30)

Shocking.

Jeff Marks (0:31)

Of course, the Fed did cut rates as expected yesterday, 25 basis points, I guess, left the door open for December as well.

Jim Cramer (0:38)

But how about that? Didn't go by the housing companies again. You're not going to... A lot of people felt that mortgage rates were ahead of the eight. Now it doesn't look like it. I know that it's antithetical to what the budget deficit is. Like everyone's saying, listen, Trump, if he doesn't do the budget deficit, try to address it, it's just going to get out of control. Well, that's not an out-of-control bummer, it's just not. So it's sanguine at the same time. China's stimulus, once again, not enough. Spoke to Eunice Yu from CNBC who's over there. It's one of these things where they have to put money in people's hands and they haven't done it.

Jeff Marks (1:11)

No, they absolutely have to. That's part of the reason why a lot of consumer-related China stocks rallied so big a couple, like a month ago, a little more than that.

Jim Cramer (1:19)

Right, right, exactly. I still think the Alibaba, if you want to buy, you take the discount and you buy it.

Jeff Marks (1:24)

Yeah, we certainly, we've exited a lot of our direct China consumer-related stocks, whether it's Estee Lauder, Wynn. We still had Procter & Gamble to a smaller degree. We had to.

Jim Cramer (1:36)

There's no reason to take it. Yeah, we avoided the beading. We've learned. We learned from Wynn not to hang out at Procter.

Jeff Marks (1:45)

We did make a trade today, and it's one of our popular trades of this week in terms of, it's our third time doing it, selling more Honeywell.

Jim Cramer (1:52)

Yeah, perfect. This is a poorly managed company that is doing a restructuring that is actually good. But when I say under managed, under managed, because there was a sense that they did this restructuring without any real thought about it, because the earnings got so bad that it's like, wow, if you can't walk and chew gum, if you can't restructure and sell stock.

Jeff Marks (2:12)

Yep, and it fits under the idea. So look, when the market was up huge on Wednesday, we sold some Wells, we sold some Morgan Stanley. Those are both winners, but if you only sell your winners, then you're going to get stuck with a portfolio of laggards. And Honeywell has been a laggard, but it is rallying along with the other industrials this week. So a good opportunity to sell into strength when you get the chance, because the fundamentals may not be there.

Jim Cramer (2:38)

I am, you know, look, I didn't want to reload because it might go even higher, but we have sold the position to the point where it's not going to hurt us. And the prices we got are amazing. Start your day with my outbook on the market every morning. Visit cnbc.com/morningtake to become a CNBC Investing Club member at a special rate today.

SPEAKER_3 (3:03)

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