Cramer's Morning Take: Jobs Report 6/2/23

SPEAKER_1 (0:00)

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Jim Cramer (0:31)

Hey, it's Cramer. And this is my morning take on the market from today's CNBC Investing Club morning meeting.

This is one of those days that we, yes, we have an unemployment number that's somewhat regarding Goldilocks. We can talk about that with Jeff. But we also have that debt deal. Thank you to Speaker McCarthy, who really is the one who, you know, Biden put his thing out. But he had to wrangle more people than Biden had to wrangle. And I think that's important. And that's going to be the takeaway of this debt deal. That's my thinking. Not pro-Biden, but pro the idea of working together, not unlike Ronald Reagan and Tip O'Neill going back to 82

The jobs report, just good enough to make it so we don't think the Fed's going to tighten this month?

Jeff Marks (1:09)

Yeah, look, it was a huge job gains, a big beat, positive revisions. What I like, the average hourly earnings, a little bit cooler than expected. We're talking very small, though, 4.3 versus 4.4. But the unemployment rate moved up, as you noted.

A bit of a lot of worries about recession lately, but with job gains still this robust, $3.39 versus $1.95, and the unemployment rate still so low, it's hard to say that any type of recession is imminent. And I think the combination of the jobs report plus the debt ceiling deal is finally giving way to a nice broader rally in the market, especially a lot of cyclicals.

Jim Cramer (1:45)

If we can take the global recession off the table, Aolaw, once again, as I told you, that the Chinese communists would not spare anything, this time talking about a stimulus package that is going to make it so rents are much cheaper, building, that's going to spare building, that means they're going to spare Caterpillar. Now, Caterpillar is less than 5% China, but the perception is that it's big China. It's not, okay? It's not levered to oil. It's not levered to anything. If anything, the biggest ones are data centers. They spoke yesterday to Jim Upelby, and he said, this is Bernstein, which has got a hole in the stock, said, look, everything's also in the cup.

Almost everything's sold out, except for one little small piece.

I would tell you that this is the most undervalued of our stocks going into today.

Jeff Marks (2:29)

Yeah, but he doubled down yesterday about how they're going to have a good year, meaning earnings growth better than the year before.

Jim Cramer (2:37)

2024 is infrastructure.

Jeff Marks (2:39)

Yeah, absolutely. But with all the news, the China stimulus as well, giving a nice rally to a lot of the China-related stocks, copper is higher today, oil moving up ahead of this weekend's OPEC Plus meeting. So again, Goodford, Caterpillar, a lot of other, the industrial is all moving higher.

Jim Cramer (3:00)

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SPEAKER_1 (3:57)

CNBC's Last Call Podcast. Get the stories behind the numbers. There's investing news that impacts your money and your portfolio and the people behind the business. And there's business news that impacts your life from Wall Street to K Street and Main Street.

The markets may close. Your money never stops. Last Call is really about spotting tomorrow's opportunities tonight.