My top 10 things to watch Tuesday, Oct. 29 1. The S & P 500 is headed for a muted open Tuesday after Wall Street on Monday started the busy week of earnings and economic data on a high note. Stocks were supported by U.S. crude oil recording its worst one-day loss in two years. Oil is up a little more than 1% Tuesday. 2. We have seen a quiet degradation of anything soft — like PepsiCo , Procter & Gamble , Colgate-Palmolive and Coca-Cola — even if they are good. This is the cycle playing out. These stocks are saying the Fed will cut interest rates again and will cut soon. But the housing stocks are saying central bankers won’t cut. D.R. Horton shares were getting slammed after the homebuilder quarterly misses and guidance cut. Which one will be right? We don’t have enough information yet but the employment number on Friday will tell us. 3. One of our Fed rate cut housing plays, Stanley Black & Decker , was under pressure Tuesday morning after missing on third-quarter revenue. The toolmaker adjusted full-year guidance, raising the low end of the range but lowering the top-end. Stanley Black & Decker did beat estimates on Q3 earnings per share. 4. The next trillion-plus yuan Chinese stimulus plan is coming. This one won’t work either because these are all about trying to help the property market. Many have been waiting for stimulus there to help buy product from the U.S., but it hasn’t happened. There’s been nothing that has helped U.S. companies, such as Club names Starbucks and Apple, which do big business there. 5. Citi analysts think Club name Apple will miss when it reports quarterly results after Thursday’s close. I don’t know a soul on earth who thinks that Apple will make the quarter. Why didn’t Apple preannounce? The new iPhone 16 is banned in Indonesia over local content. Had been an important market. Club stock Amazon is out late Thursday, too. Amazon spending on its satellite internet service will be a watch item . 6. After Tuesday’s close, Club names Alphabet and Advanced Micro Devices report earnings. Club names Meta Platforms , Starbucks , and Microsoft release results after Wednesday’s close. Microsoft will debut a new reporting structure the company hopes will provide more visibility into its big cloud computing business. Some Wall Street analysts are upbeat on the new reporting structure. 7. Dow stock McDonald’s was lower after the fast-food giant beat on third-quarter EPS and revenue but missed on global same-store sales. Foot traffic to U.S. locations fell roughly 10% in the three days following the CDC’s announcement last Tuesday of an E. coli outbreak tied to Quarter Pounders. That’s according to Gordon Haskett Research Advisors. 8. Pfizer crushed estimates with third-quarter earnings and revenue. The drugmaker also provided a huge guidance boost. Pfizer’s Covid vaccine and antiviral pill Paxlovid helped boost sales. Management reiterated intention to take out $4 billion in costs by year-end. 9. Embattled Boeing offered 112.5 million shares at $143 each to bolster its finances hurt by the more than six-week machinists strike and to protect its credit rating. Great price. Bankers did a fabulous job. That’s why it paid not to pay Tuesday’s closing price of $150. Why are people doing such stupid things? Just stay focused. 10. Ford , once again, was hit with warranty issues as revealed in its quarterly release. Too much inventory and a more negative outlook will put a lid on this stock. No matter what amount of cash, it seems Ford won’t do a buyback, even down under $11 per share. There is no use buying this stock versus buying shares of General Motors where the buyback is voluminous. Sign up for my Top 10 Morning Thoughts on the Market email newsletter for free (See here for a full list of the stocks at Jim Cramer’s Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Cans of Coca Cola displayed at a grocery store on April 24, 2023 in San Rafael, California.
Justin Sullivan | Getty Images
My top 10 things to watch Tuesday, Oct. 29
1. The S&P 500 is headed for a muted open Tuesday after Wall Street on Monday started the busy week of earnings and economic data on a high note. Stocks were supported by U.S. crude oil recording its worst one-day loss in two years. Oil is up a little more than 1% Tuesday.
2. We have seen a quiet degradation of anything soft — like PepsiCo, Procter & Gamble, Colgate-Palmolive and Coca-Cola — even if they are good. This is the cycle playing out. These stocks are saying the Fed will cut interest rates again and will cut soon. But the housing stocks are saying central bankers won’t cut. D.R. Horton shares were getting slammed after the homebuilder quarterly misses and guidance cut. Which one will be right? We don’t have enough information yet but the employment number on Friday will tell us.
3. One of our Fed rate cut housing plays, Stanley Black & Decker, was under pressure Tuesday morning after missing on third-quarter revenue. The toolmaker adjusted full-year guidance, raising the low end of the range but lowering the top-end. Stanley Black & Decker did beat estimates on Q3 earnings per share.
