Yields Spike, Sam Bankman-Fried Trial Begins, Nadella Testifies 10/3/23

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Jim Cramer (0:31)

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.

David Faber (0:39)

Good Tuesday morning. Welcome to Squawk on the Street. I'm David Faber with Jim Cramer. We're at Post 9 of the New York Stock Exchange. Carl's got an assignment today. He'll be back tomorrow. Let's give you a look at futures before we get started with trading. 30 minutes from now, we're set up for...

Jim Cramer (0:55)

Yeah, we're open. Hey, let's not be too negative since everybody else is.

David Faber (0:58)

Okay, let's get to our roadmap, though. It does start with, well, in part, the spike in yields because that's what may have stocks down. That 10-year, it touched its highest level since August of 2007 Yeah, give me a whistle. Plus, Microsoft CEO Satya Nadella, he's taking the stand in the Federal Landing Trust Case against Google. He'll be testifying, or has, on the difficulty to break into cert.

And speaking of trials, it's day one of the criminal trial for Sam Bankman-Fried, right there in that building. Gonna begin later this hour. We will be live on the scene.

But let's start with, while the rising yields, you know, it's funny, Jim, we had a funny moment last week where you got up and said, all we'll do is talk about the 10-year. You walked over there, we'll talk about the 10-year. And I think it's kind of true.

Jim Cramer (1:47)

I know, and it didn't start that way. I'm watching Frank, Frank Hollen this morning and the 10-year's kind of holding in. It's up and up, the United States, the Dow's up. And then slowly, step by step, inch by inch, the 10-year falls. And then the next thing you know is that the futures are down. And then the analysts are now, the tune that they're singing is negative for pretty much everything, because why?

Margins, but really the subtle reason is because they have to keep track with the stocks themselves.

David Faber (2:19)

They have to keep track of what?

Jim Cramer (2:20)

Of the stocks themselves.

David Faber (2:21)

Right.

Jim Cramer (2:22)

And they're cutting their target. And the way that, remember when things were good and they were raising the price target, now things are better, they're cutting the price target. I hesitate to call it valueless, because that would be slamming a whole profession.

Except for Adam Jonas, because he continues to entertain. And Dan Ives, because he's just playing out fun.

David Faber (2:41)

He is fun, not to mention.

Jim Cramer (2:42)

Where does he get men's warehouse?

David Faber (2:44)

It's incredible.

Jim Cramer (2:45)

Where does he get that stuff?

David Faber (2:46)

I mean, he gets it all over. I think he spends a lot of time.

Jim Cramer (2:48)

That stuff is hard to find. It is. I was over Marshalls, they don't have a thing like that.

David Faber (2:51)

No. Dan Ives is, we love having him.

Jim Cramer (2:54)

We do love him, because you know, he understands the real game, which is just upgrade, downgrade, this or that. Now, Jonas correctly talks about how much you lose per Red Rivian.

David Faber (3:05)

He follows obviously automobiles and comments constantly on EVs.

Jim Cramer (3:09)

But he's enjoyable, and he makes a lot of sense. This morning, he talks about, look, the legacy companies are gonna have a hard time making these EVs, and that's in part because the choice that they have to make if they give the workers what they want is basically, let's cut back on these.

David Faber (3:25)

And the UAW has, GM confirmed, come back with a counteroffer.

Jim Cramer (3:30)

Yes. So, I mean, I find, whether we talk about writer strikes, whether we talk about Kaiser Permanente, whether there's-

David Faber (3:36)

That is a potential very large strike in California.

Jim Cramer (3:39)

We have a lot of people who are just making ends meet. And I think that that's left out of the dialogue.

Now, why do I say this? I'm not supposed to talk much about my jury duty. And I can't talk about the case. But when you listen about why people are getting called on a jury and they ask you what people do, and this is a really pretty good sample, people just try to get by and you forget. And you forget how lucky we are.