Rebound Rally, the Trump-Powell Effect, Earnings and "Tariff Sensitivity" 4/22/25

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Jim Cramer (1:02)

It's Jim Cramer here. You're listening to the opening bell of CNBC Squawk on the Street. Don't miss a minute of the action.

Carl Quintanilla (1:16)

Good Tuesday 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. Stocks are trying to bounce after another 2% sell off on Monday. Earnings roll in, a number of giants, 3M and GE, keeping their full year sales guidance intact. 10 year near 440 this morning. A roadmap begins with the markets after that Trump versus Powell effect on yesterday's sell off. Dow is on track for the worst April since the Great Depression.

David Faber (1:43)

Also ahead, of course, tariffs in focus continued to be yesterday. President Trump met with the CEOs of Walmart, Home Depot and Target. We're going to tell you what those executives had to say about the meeting. Plus Verizon and GE Aerospace joined today's earnings parade. That's along with 3M, which added what it calls tariff sensitivity to its full year guidance.

Carl Quintanilla (2:05)

Let's get right to the markets after yesterday's sell off. This morning, the Dow dropping around 1000 points, fourth negative session in a row. Although again, Jim, this sort of mild attempt to rally a bit into the close.

Jim Cramer (2:16)

Right. Actually, that was a really interesting turn because no one can figure it out. It was almost as if somebody knew that the president was going to go, I now follow this too social, like I go there like every five minutes, that there wasn't going to be anything today.

There is a belief, I think, among the executives that I speak to, and obviously we all speak to a lot of executives, that the president is so off the reservation with his attack on J. Powell that they're not able to really speak about it. They are emotional. They feel that it's beneath the White House president. They obviously are very concerned about tariffs, and they all try to put tariffs in motion, try to figure out what to do, but I was very haunted by the idea that, David, that they feel that maybe the country is not in the right place because they have a tremendous respect for J. Powell. Maybe, now, maybe take the devil's advocate, maybe if Powell cut rates, then perhaps the economy could accelerate.

David Faber (3:23)

Yeah.

Jim Cramer (3:24)

But I think they're taken aback by the name calling, taken aback by the, what I would say is the fourth, fifth grade talk, where you would go home and your mother would say, I am going to tell your father, and you beg her not to tell your father. Beg her, because the fist of fury is going to come at you.

David Faber (3:47)

I thought it was interesting that we obviously are attributing some of yesterday's move to what you're describing in terms of the language and coming back at Powell again. And yet on Thursday, we really did not see it impacting the market as much as we thought it might, given that's when the barrage began.

Jim Cramer (4:07)

I think people thought it was one off. It should not have been.

David Faber (4:10)

And it may also have been Kevin Hassett's comments, you know, the word studying. But here we are today. Listen, Trump jawbone plenty at Powell the first time around. Obviously, he appointed Powell. I think his arguments are specious when it comes to when they cut rates and why they cut rates. Obviously, they also did that during COVID in a very significant way, helping and aiding certainly an economy. But the last time he cut, the long race went up. But listen, the thing I continue to run into more than anything, and David Solomon reflected this in his comments during an interesting interview this morning on Squawk Box is we don't know what the policy is.