Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. Market moves: Wall Street was having another soggy session. A lower close for the S & P 500 would mark its fourth out of the past five sessions. The index was also on pace to break its three-week winning streak. The pressure on stocks came as the 10-year Treasury yield soared this week from about 4.15% to 4.4%. Recently, the S & P 500 has gone through a stretch of bad breadth — meaning more stocks closing lower than higher. Thursday was a good example, with 326 stocks in the index falling and only 174 rising. Analysts at Deutsche Bank pointed out that Thursday was the ninth consecutive session of more down than up stocks, its longest such streak since 2001. It’s no wonder the S & P 500 Short Range Oscillator has steadily fallen after working off its most recent overbought condition. The Oscillator showed the market was technically overbought from Nov. 29 through Dec. 6, which was the same day the S & P 500 last made a closing high. However, there is still a little more work needed to get to oversold. After Thursday’s close, the Oscillator broke below minus 2%, meaning it’s not quite there yet as minus 4% is the threshold. The Oscillator measures buying and selling pressure in the market, and we use it to see when to consider lightening up on stocks in overbought markets and buying in oversold markets. Every time we mention the Oscillator, we’re flooded with requests from Club members: “How can we access?” Well, we went directly to the source, our partners at MarketEdge, the data provider that publishes the Oscillator. We’re excited to share that Club members can now get an exclusive discount for this helpful tool. Click here . Dividend Aristocrat: Club stock Abbott Laboratories , a diversified health-care company, increased its quarterly dividend for its 53rd consecutive year. The 7.3% increase brought the quarterly payout to 59 cents per share. The dividend yield at current stock levels moved above 2%. We don’t think of Abbott as a dividend play, but its status as a so-called Dividend Aristocrat shouldn’t be ignored. To join this elite club, a company must be in the S & P 500 and increase its dividend for at least 25 consecutive years. It’s a badge of quality we like to circle back to during stretches of heightened market volatility. Next week: The year may be winding down, but there are still a few big-name companies scheduled to report their quarterly earnings next week. A few of the notables out Tuesday are General Mills, Micron Technology, and Lennar. Thursday is a big day with Accenture, Cintas, Darden, Nike, and FedEx on the docket. It’s also a big week for data and policy. On the data side, we get S & P Global PMIs, retail sales, the third reading on third-quarter GDP, and the PCE price index. On Wednesday afternoon, as mentioned, we’re likely to see the Fed lower interest rates by 25 basis points at the conclusion of its two-day December meeting. Based on CME FedWatch probabilities, the market expects the Fed to cut rates and then hold at least until March. The Fed kicked off its easing cycle in September with a jumbo 50-basis-point cut followed by a 25-basis-point cut in November. (See here for a full list of the stocks in 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.
Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street.
Visited 1 times, 1 visit(s) today
