In Tuesday’s Morning Meeting livestream, Jim Cramer discussed the pressure on equities as U.S. stocks dipped, with the S&P 500 and Nasdaq Composite both falling more than 1%. The decline was attributed to higher government-bond yields and a stronger U.S. dollar, causing the S&P to retract about 4% this month. Cramer expressed his belief that the market sentiment is excessively negative and encouraged taking advantage of buying opportunities during this period of weakness.
In other news, Amazon announced its investment of up to $4 billion in Anthropic, an artificial-intelligence firm. Anthropic, which competes with AI research laboratory OpenAI, plans to run most of its workloads on Amazon Web Services (AWS). This move is expected to accelerate AWS revenue growth through generative AI.
Additionally, Costco Wholesale is expected to release its quarterly results, with a major focus on margins, membership statistics, and commentary on inflation. Although no membership-fee hike or special dividend announcement is anticipated, these factors should still be monitored as potential catalysts. As a subscriber of CNBC Investing Club, members receive trade alerts before Jim Cramer executes a trade in his charitable trust’s portfolio.
Overall, Tuesday’s discussions highlighted the negative market environment, Amazon’s investment in Anthropic, and the upcoming earnings report from Costco Wholesale, emphasizing the importance of analyzing margins, memberships, and inflation commentary.