Trump: China Deal "Is Done," Inflation Watch, Musk's Mea Culpa 6/11/25

SPEAKER_1 (0:00)

Still jumping from tab to tab to create trades? With Fidelity Trading Dashboard, you can easily access live data, advanced charting, portfolio insights, and automated alerts, all on one screen. Our streamlined view lets you quickly create and execute your trading strategies to help keep up with the markets. Because better trading starts with finding what you need fast. 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)

Are you still quoting 30 year old movies? Have you said cool beans in the past 90 days? Do you think Discover isn't widely accepted? If this sounds like you, you're stuck in the past. Discover is accepted at 99% of places that take credit cards nationwide. And every time you make a purchase with your card, you automatically earn cash back. Welcome to the now. It pays to Discover. Learn more at discover.com/creditcard. Based on the February 2024 Nelson Report.

Carl Quintanilla (0:59)

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 Wednesday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer and David Faber at Post 9 of the New York Stock Exchange. Pre-market likes that softer than expected CPI print, one-tenth on headline and on core. Has yields backing off, two year below four. Some rotation into small caps. Russell futures up more than 1%.

Our roadmap begins with the president saying the US has a trade deal with China, subject to final approval from him and President Xi.

David Faber (1:33)

Plus, we'll have the latest read on the consumer prices as Carl just indicated. Coming in less than expected, core prices excluding food and energy also below estimates. And Elon Musk is walking back his social media posts, at least the bit about President Trump saying they went too far. Tesla shares are moving higher in the free market, building on yesterday's big gains. And we got a date on Autonomous for Austin.

Carl Quintanilla (1:56)

Let's begin with these U.S.-China trade talks. In the last hour, the president did post on Truth Social, quote, Our deal with China is done, subject to final approval with President Xi and me. Full magnets and any necessary rare earths will be supplied upfront by China. He went on to mention Chinese students having access to US colleges and added, quote, We're getting a total of 55% tariffs. China is getting 10%, says the relationship is excellent, Jim. We'll see how this gets received. We got a small China readout, but that was earlier this morning.

Jim Cramer (2:27)

Right. Well, first, if you want to try to make money off of your trader, it's General Motors, which had the most problem. They also agreed to $4 billion shifts in production from Mexico. So that's a clear ramp to 53, I think. Ford's got it too. They were the two that were held back. There's a lot of misinformation. I've seen it even in an interview this morning. Here, they were giving this stuff to Germany and Japan. There was absolutely just a total stranglehold on the US. Let's not forget that. It was not done in a way that was in a vacuum where everybody was hurt. Second, there has to be some sort of way during this period where we develop something that will take their place. Mexico could be the way to do it. It is just shocking to me that we didn't have a game plan. No game plan.

So, the final thing I say is, David, there may be a deal and there may be students involved, but we don't know what is going to be involved with semiconductor.

David Faber (3:20)

No, we don't. There is no mention of chips here, which obviously we know is a very important part of at least what the Chinese were viewing as something that they felt was a key. So, yeah, students, rare earths, obviously the magnets is, again, we're just dealing with a social media post and we're reading into that at this point. The 55% number, when you really sort of get to where things are running in terms of an effective rate, even though it's 30%, there are a number of parts of the Chinese goods complex that are much higher. So, you get to about 51%.

So, kind of in line with where the effective rate is right now. And that's all we know. We haven't heard from the Chinese yet.

Jim Cramer (4:00)

No, we don't know and the Chinese did have a kind of discouraging statement talking about how, look, we'll take it till we're, do we have to fight? What I say on the semiconductor, a lot of people feel it was the Advanced Micro, because they have a GPU, that's what you need, that's what Nvidia has, and Advanced Micro's up a quick 10 A Micron is high bandwidth that's also used for data centers, so that would be something we could give them. Sondre Moro just been very quiet about it, the CEO, but you might see Nvidia going up here. Now Nvidia gave a very good talk, this was Jensen's time to go. Sovereign AI again, some of the friends with an outfit called Mistral that does LLMs, but I have to tell you Carl, here it goes again, and I talked about it last night at the top of the show. They made a manifesto about quantum, about how quantum's here. There are four quantum stocks that we have to follow.