Every weekday, the CNBC Investing Club with Jim Cramer hosts a live “Morning Meeting” at 10:20 AM ET. Here is a summary of Monday’s key highlights. Stick with Dow Watch Wage Inflation Watch Ford Price Decline 1. Stick with Dow The S&P 500 and Nasdaq Composite fell on Monday ahead of a busy week of earnings reports and an expected Federal Reserve rate hike. At the same time, the Dow Jones Industrial Average rose 0.04% in morning trading. Monday’s mixed session is a reminder that investors should stick to high-quality, recession-resistant stocks in the Dow while avoiding showhorse stocks in the high-tech Nasdaq. Among Dow stocks, we are particularly bullish on Club Holding Procter & Gamble (PG). 2. Watch for wage inflation When the US Department of Labor releases its nonfarm payrolls report for January on Friday, we’ll be looking for signs that wage inflation is declining. This may allow the Federal Reserve to slow down the pace of interest rate hikes in the coming months. Jim Cramer said on Monday that the Fed should be able to limit the impact of the economic downturn, even if it hurts markets more in the short term. “They will develop a soft landing — I repeat, they will develop a soft landing,” Jim said. 3. Ford price cut monitoring Ford Motor Company (F) on Monday said it was cutting the price of its Mustang Mach-E electric crossover while boosting production. The move, following a similar price cut by electric vehicle maker Tesla (TSLA), means that not all Mach-E models will be profitable on a per-unit basis. We have no plans to trade shares at this time and we are monitoring the situation. Ford is due to report fourth-quarter earnings on Thursday. (The Jim Cramer Charitable Foundation is a long PG, F. See the full list of stocks here.) As a CNBC Investor Club subscriber with Jim Cramer, you will receive a trade notice before Jim completes the trade. Jim waits 45 minutes after sending a trade alert before buying or selling shares in his charitable foundation’s portfolio. If Jim was talking about a stock on CNBC, he waits 72 hours after a trade alert is posted before making a trade. THE ABOVE INFORMATION ABOUT INVESTMENT CLUB IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, TOGETHER WITH OUR DISCLAIMER. NO FIDUCIARY RESPONSIBILITIES OR OBLIGATIONS ARE OR ARISING IN CONNECTION WITH YOUR RECEIVING ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTMENT CLUB. NO SPECIFIC RESULT OR PROFIT IS GUARANTEED.
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