Record Highs and Parabolic Stocks, China Investigates Nvidia, Ad Giants' Megamerger Deal 12/9/24

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Carl Quintanilla (1:01)

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 Monday 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. It is a mixed pre-market as we go into a consequential week for central banks, geopolitics, inflation data, got some lingering earnings in tech and retail, 10 years still below 4-2. Roadmap begins with Nvidia shares under some pressure in the pre-market as China opens an investigation over possible violation of anti-monopoly law.

David Faber (1:35)

Plus, President-elect Trump telling NBC News over the weekend that he will not try to remove Federal Reserve Chairman Jerome Powell. We have a lot more from that exclusive interview ahead. And the S&P 500 swapping out two names, Workday and Appalo are now in the mix. Both stocks up on the news.

Carl Quintanilla (1:55)

Let's begin with this new week for the markets and this record run for stocks. 57 all-time highs so far this year. Jim, a lot of discussion about positioning being one way bullish right now.

Jim Cramer (2:05)

It is. I just think there are a lot of upgrades. I put out a sheet every morning about what are we looking at. And there's almost no downgrades. Almost everything is an upgrade. The only things that are being downgraded are the oils.

As a matter of fact, what I see happening is that if a stock is up and someone boosts the price target, the stock goes up 10 And so that makes the next firm boost the price target. So, David, we have this kind of virtuous circle of positive news just from the brokerage houses. And it's impacting the stocks.

David Faber (2:38)

It is. It is. And it just continues. I mean, even names, again, for example, Morgan Stanley today ups its price target. These are smaller, not small, but smaller companies, Jeffries or Lazard or even Evercore. Well, but I mean, just back to your point, the price targets go up enormously, enormously with this upgrade this morning. Again, based on what may be in part the reason behind a lot of this, which is the fact that there's going to be a return of M&A and any number of other thoughts that have to do with the incoming administration, specifically in terms of what it's going to mean for some of these companies that do rely a lot on deals.

Jim Cramer (3:24)

Yeah. Well, it's funny, I was at the ballgame yesterday. There's just a huge number of people, let's see, a huge number of people, all they do is tell you, you know what? Free fire zone, do whatever deal we want. What I think is amazing is a deal this morning, that literally is the kind of deal that was made to be shot down by people in this administration. This Omnicom IPJ. I mean, I just think that if you had to put twint the finger, just like say, hey, listen, Khan, take us on. This is it. It's really incredible. It's so anti, it's so monopolistic and anti-competitive.

David Faber (3:59)

Except for the fact that both companies are in a difficult position in the sense of what Gen AI is going to mean for their business.

Jim Cramer (4:05)

Oh, I agree. But I'm just saying-

David Faber (4:06)

Which is the typical, always the problem in terms of antitrust law not catching up with technology in a way. Correct. I agree with you that in the current administration, that deal would get a hard look. Maybe it still will get a hard look. We'll see.