Every weekday, Jim Cramer's CNBC Investment Club releases the Homestretch, a practical afternoon update to coincide with the last hour of trading on Wall Street. (We are no longer recording audio, so we can get this new written feature to our members as quickly as possible.) Markets: Markets are up Thursday after quiet trading Wednesday. Thursday's gains put the S&P 500 index less than 1% from its record close on March 28. Meanwhile, the Dow Jones Industrial Average rose about 270 points, or 0.7%, on pace for a seven-day winning streak. The stock market on Thursday received some support from the bond market. The 10-year Treasury yield initially rose in early trading but retreated after new jobless claims showed signs of an easing labor market and hit the highest level since August. . This reaction follows the market's “bad news is good news” reaction to last week's April jobs report. Yields fell again shortly after 1pm ET in response to solid demand for the $25 billion 30-year bond auction. Reports on several notable economic indicators are expected to be released in the coming days. Preliminary results from the University of Michigan's May Consumer Sentiment Survey, which includes consumer inflation expectations, are expected at 10 a.m. ET on Friday. And next week, the Producer Price Index (PPI) and Consumer Price Index (CPI) for April are scheduled to be released at 8:30 a.m. ET on Tuesday and Wednesday, respectively. Wall Street will be paying close attention to these two reports, as a series of rising inflation indicators in recent months have pushed back the timing of expected Federal Reserve rate cuts. Technology absent: Technology was the only S&P 500 sector in the red on Thursday. Many tech solar stocks fell after SolarEdge reported disappointing second-quarter earnings forecasts. Things have been tough for the industry lately. Remember that many solar power systems are purchased with financing, so this cohort is very sensitive to interest rates. Over the past 12 months, SolarEdge stock has fallen more than 80%. The Invesco Solar ETF has fallen nearly 40% over the same period. Elsewhere in the tech industry, chip stocks were mostly lower Thursday. Some of that may have to do with soft quarterly guidance from chip design company Arm Holdings, but these sellers are missing the bigger picture on the multi-year growth story for AI chips. It is thought that there is a possibility. In fact, earlier this week we received positive feedback about AI spending from Arista Networks, whose CEO Jayshree Ural appears on “Mad Money.” The club that owns Salesforce was the worst performer on the Dow on Thursday, dropping about 1.5%. The decline is likely related to competitive concerns regarding Alphabet's interest in acquiring HubSpot, which also sells customer relationship management software. HubSpot reported earnings Wednesday night and provided mixed guidance. S&P Leader: The best-performing sectors in his S&P 500 index on Thursday were real estate, utilities and energy. Utilities, a typically defensive sector, had the biggest gain so far this week, rising nearly 4%. Next, we will conclude with this week's major financial results report. Remaining tonight are solar tracking company Array Technologies, insulin pump maker Insulet Corporation, and content distribution company Akamai Technologies. Canadian energy pipeline company Enbridge is scheduled to report on Friday. (See here for a complete list of Jim Cramer Charitable Trust stocks.) As a subscriber to Jim Cramer's CNBC Investment Club, you will receive trade alerts before Jim makes a trade. After Jim sends a trade alert, he waits 45 minutes before buying or selling stocks in a charitable trust's portfolio. If Jim talks about a stock on his CNBC TV, he will wait 72 hours before executing the trade after issuing a trade alert. The above investment club information is subject to our Terms of Use and Privacy Policy, along with our disclaimer. No fiduciary duties or obligations exist or arise from your receipt of information provided in connection with the Investment Club. No specific results or benefits are guaranteed.
Every weekday, Jim Cramer's CNBC Investment Club releases the Homestretch, a practical afternoon update to coincide with the last hour of trading on Wall Street. (In order to get this new written feature to our members as soon as possible, audio recordings will no longer be made.)
