Wrapping Up 1H: Post-Debate Markets, Trump-Friendly Stocks, Nike Tumbles 6/28/24

Jim Cramer (0:00)

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 (0:07)

Good Friday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer at Post 9 of the New York Stock Exchange. Faber has the morning off. Final trading day of the month, the quarter and the first half of Fez futures go green on this friendly core PCE print mostly in line, annual rate down to 2.6. Bonds do catch a bid 10 year 4.2.6.

A road map begins with politics though in your portfolio. Markets are pricing in the chance of a Trump victory or the chance of a new candidate after last night's debate performance. Nike shares are tumbling after that sales and guidance miss, and as we said, futures in the green. The Fed's preferred inflation gauge does show continued slowing inflation.

Let's begin though with last night's debate between the President and former President Trump and the implications for markets. Jim, the word disaster being used quite a bit in the Journal today regarding President Biden, does it spur you to make any investment decisions?

Jim Cramer (1:00)

Yes, and I'm glad you asked me that way because I think that I don't really have that much more to add on than what the press has said.

Michael Samblis, by the way, is my guy for the most part, JP Mourning, because he does talk about what happens if Biden drops out and does reference the fact that this is the opportunity perhaps, but he keeps saying un-newsome, un-newsome. So let's leave it at that. What I would like to talk about is just that there are very specific issues that are pulled forward. If you do think that there's a greater chance now that Trump will win, then what you must worry about is a true trade war with China, not a tip for tat, but an actual thing that would really make it so that two of the stocks that are absolutely horrendous here anyway, Starbucks and Nike, they would be most hurt. We'll go into Nike later. Nike actually had the ability of making Starbucks look good, which is really quite a statement right there.

But one of the things that you want to worry about is PAL, because a lot of people feel that PAL is soft landing, so you might have the change, of course, there.

Who knows, maybe pardons Peter Navarro. Navarro comes back as Secretary of State, and he's the most anti-China person I have ever read and had the ability to talk to. But you would say, okay, listen, there's no more reason why Kroger Albertsons would be blocked. There won't be any blocking of Tapestry Caffrey, which is, these are FTC names. There won't be a move to break up or stymie Amazon. Apple will no longer be in the crosshairs of the Justice Department. There will be a sense that there could be more media mergers. And then I think that one of the just, we want to take some odd ones.

Something like the plaintiff's bar will be neutered, which means you have to go by J&J. They actually benefited from the bankruptcy ruling involving opioids and the Sacklers yesterday. So it's incremental. And if people want a stock, I always come up with a stock that really does work. And if David Faber were here, he would say, well, what's the key to this market? Well, I would say no. Look, if you want one that has been directly hurt, that's down 36% since ruling by Biden, it's New Fortress Energy, which is a very good company, it's West Eden's, most directly affected by the temporary pause in the approval of the new LNG export. I mentioned that because point blank, Trump has said that goes, the temporary pause goes.

Carl Quintanilla (3:11)

Right.

Jim Cramer (3:11)

So therefore you buy out of it.

Carl Quintanilla (3:12)

Although we did get at least one approval yesterday regarding some of these Louisiana facilities, not for the export, but parts of those are moving ahead.

Jim Cramer (3:19)

Right. It's just that when I had Wes on, Wes is quite a visionary. The idea was to say, who is going to most take advantage of the fact that we are the most, the biggest exporter, Semper just had that deal yesterday with the Saudis, which was incredible, and that's Jeff Martin, he's an amazing CEO. So I'm trying to be very practical in this.

More mergers, less business with China, maybe NAFTA comes up in 2026 and that goes. So I don't want to.

Carl Quintanilla (3:49)

You pull the trigger on these or are these just decisions that are on deck?