Stocks' Record Run, Navarro Slams Fed's Powell, Tesla Slides As Musk Forms a New Political Party 7/7/25

SPEAKER_1 (0:01)

Want to quickly create and execute trading strategies to help keep up with the markets? With Fidelity Trading Dashboard, you can access live data, advanced charting, portfolio insights and automated alerts, all on one screen. We streamlined the trading experience so you can build and place trades better. Your Fidelity Trading Dashboard is ready now for free. Visit fidelity.com/tradingdashboard.

Investing involves risk, including risk of loss. Fidelity Brokerage Services LLC, member NYSE-SIPC.

SPEAKER_2 (0:31)

Our state has changed a lot in the last 140 years. We know because multi-care has been here, guided by a single purpose, making our communities healthier. That comes from making courageous decisions, partnering with local communities to grow programs and services, and expanding health care access to those who need it most. Together, we are building a healthier future. Learn more at multicare.org.

Jim Cramer (1:02)

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

Carl Quintanilla (1:09)

Good Monday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer. Post-Night of the New York Stock Exchange, Faber has the morning off. Future is fairly steady, coming off all-time highs as we set up for a deadline on tariffs, looking for more deal announcements, got some tech M&A, 10 years right around 436 Our roadmap begins with some investor confusion around trade as President Trump gets ready to send letters to a dozen countries about imposing tariffs beginning August 1 Shares of Tesla hitting the brakes after Elon Musk says he is forming a new political party and the pressures on Powell to cut rates begins to ramp up. Senior Counselor for Trade and Manufacturing, Peter Navarro is going to join us to discuss his scathing new op-ed in the Hill today. Let's begin though with the markets as we enter a new week at record highs. Jim, a lot of discussion about how many things are kind of working. The news flow is pretty steady. We're hitting some technical levels, obviously the highs.

Jim Cramer (2:02)

Yeah, it's funny you say that. I was working this weekend. I've got an annual meeting for the Club on Friday. I posited that maybe things are good and they're working. I said, look, I know there are people in this room who are anti-Trump.

Some people are pro-Trump, of course. But the fact is, is that there are a lot of things that are indeed working. We'll talk to Peter Navarro, but the question is, can you keep buying here? Can you keep buying when things are good? When I go through the research this morning, I mean, people are just kind of saying, listen, it doesn't matter. You have a very positive piece about G.E.Vernova. Let me use that. And that's the company that makes gas turbines. Well, turbines, David got me calling them turbines. But when you look at that company, you say, all right, I missed that one clearly. And it's, no, it's not too late. So I think that is the theme. It's not too late. I would like to see a pullback, but just because we're up a huge amount, we're very overbought. But while you're away, I just said, oh, it's by, it's by, it's by. But we haven't, a lot of things are going the president's way. And I don't see that in the press.

SPEAKER_5 (3:11)

It is.

Carl Quintanilla (3:13)

Well, certainly, the one big beautiful bill is a huge accomplishment, even though there will be some winners and losers, which we'll talk about later. July, though, seasonally, average gains is like almost 2%.

Jim Cramer (3:25)

We're coming in hot, but it may not matter.

We've got a lot of companies that I think are going to report great numbers. We're led by different stocks. We're not led by Mag-7. We're led by the banks and a lot of industrials. And I kind of like that. The rally is as broad as you could get. I think at any time, if you look at any time in the last, say, decade, you would say, you know what, okay, sure, maybe there should be a pullback, but I went in because the stocks that are selling at low multiples are going higher. The trade deals are going to, the whole, look, the BBB is rather remarkable in that what it could, it's a firehose. And I do think that we'll listen to Peter Navarro, but the trade deals are good. Right. So I don't, look, I can easily criticize, and I don't, do I like Medicaid being cut? I mean, we can go into that. No, I mean, I don't, I mean, because Medicaid's for people who are poor, and do I like the fact that I get a big tax break? Well, you know, everyone wants a tax break, but would I forgo it in order for people to have more health care? Kind of, yeah. I want people, I want this country to be rich. Of course. That's how I get rich, is have the country be rich. But I think that, Carl, I mean, yes, there's $3 trillion at it. Let's say you take Secretary Bessent at his word, you get a nice rebate from the tariffs. So it's not easy to spitball. It's not easy to say, look, are you kidding me? Spitball meaning like spitball at the president. It's not easy to do that because there's a lot of things that are good.