Inflation Watch Day 2, Alphabet and Microsoft Spark Tech Rally, Exclusive: Micron and Chevron CEOs 4/26/24

Carl Quintanilla (0:00)

Market Moving Insight and Analysis join Jim Cramer, David Faber and me, Carl Quintanilla, on the opening bell hour of CNBC Squawk on the Street.

Good Friday morning, welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer, David Faber at Post 9 of the New York Stock Exchange. Futures are feeling some relief, not just from Microsoft Google earnings and guidance, but this morning, Core PCE mostly in line. Lowest year on year numbers since 2021

Bond yields are lower across the curve. A roadmap's gonna begin with big tech though, bouncing back. Alphabet and Microsoft both up sharply on their respective beats.

David Faber (0:31)

Plus, the Biden administration is awarding Micron $6 billion in federal grants. This to boost production of chips in the state of New York and Idaho. We're gonna discuss all of that with Micron CEO. He's live here at Post 9

And the oil giants, Exxon and Chevron, both posting lower first quarter profits. Chevron CEO Mike Wirth is gonna join us. That'll be later this hour. We, of course, will go over those results.

Carl Quintanilla (0:56)

Let's begin with the markets and this morning's inflation data. Highly anticipated, Jim. Not just core PCE, but best couple of months on spending in about a year.

Jim Cramer (1:04)

Look, this is a front seat, back seat day versus what we got. I would even think, I'm gonna go as far as, David, I'm gonna mention somebody. You tell me if you agree. Pangloss.

Pangloss, Pangloss, Panglossian number.

David Faber (1:22)

Panglossian number. That's where you're starting the show.

That's where you're starting the show today. On this Friday in late April.

Jim Cramer (1:29)

Pangloss, man. Get me Pangloss.

David Faber (1:31)

You want to explain that to everybody else?

Jim Cramer (1:33)

Because we have, the bonds are right. I have to tell you, Carl, last night, I'm like sending a note to Ruth Poore out in the middle of the night. She's like, you know, fantastic. I mean, she's Alphabet, David.

David Faber (1:44)

Yes, she's the president.

Jim Cramer (1:45)

Alphabet gave us not only an unbelievable blowout number, but they also gave us granularity. They told us what's going on. It was joy, which I left that time when dinner was Sarah. Hey, Matt, you like that drop in that? And it was just incredible.

That was one of the greatest conference calls. And then Microsoft blows Alphabet away with how great it was.

David Faber (2:05)

Does Microsoft blow Alphabet away?

Jim Cramer (2:07)

Really?

David Faber (2:09)

You think so?

Jim Cramer (2:09)

I just think the increase there is just extraordinary.

David Faber (2:13)

The increase.

Jim Cramer (2:14)

Well, because the use of AI.

David Faber (2:16)

The increase being what?

Jim Cramer (2:19)

The overall increase in the support. The upside surprise was remarkable because it was both top and bottom line. And Amy Hood, who is like never effusive, I thought came in and kind of just said, all right, this is ours.

Give me the ball. And I thought it was a great quarter. What can I say? And then by the way, Snap, I mean, I know we're small, but I think you have my man from Snap.

Carl Quintanilla (2:44)

We do have Evan, yes. That's right, this morning.

Jim Cramer (2:46)

Oh, you did, I mean, I know it's not big, but we had a night last night about AI, David, that tells me it's real.

David Faber (2:54)

Well, the spending is incredible.

While you were at your fancy dinner, I was just home watching the Knicks lose, but reading those conference calls. And the thing that stands out, of course, in both Microsoft and Apple bet.

Jim Cramer (3:03)

Was how badly the Sixers played in the first half?

David Faber (3:06)

No, it was how much they're spending, how much they continue to spend. This after, of course, Metta took up guidance on its CapEx to what could be in as high as 40 billion. Most people don't expect it will necessarily go there during the course of the year.

But we're talking now 50 billion from Microsoft, potentially somebody on the call asking, could you be yourself spending $100 billion? And they didn't really say no.

Jim Cramer (3:32)

Well, and that's a check to who?

David Faber (3:34)

It's all NVIDIA.

Jim Cramer (3:35)

Right, and who was on 60 Minutes on Sunday night?

David Faber (3:38)

I don't know because it's Friday.

Jim Cramer (3:39)

Jensen. Jensen is going to be on, Da Vinci himself.

Carl Quintanilla (3:43)

Raimondo last weekend and Jensen this weekend.

Jim Cramer (3:46)

Become more of a business show.

David Faber (3:48)