Every weekday, the CNBC Investing Club with Jim Cramer holds a “Morning Meeting” livestream at 10:20 a.m. ET. Here’s a recap of Tuesday’s key moments. 1. Stocks are moving lower on Tuesday, led down by technology and momentum stocks. The S & P 500 and Nasdaq fell 0.70% and 1.5%, respectively. Semiconductor and memory names, including Advanced Micro , Broadcom , and Micron , are caught up in the sell-the-news trade after Samsung shares dropped after reporting preliminary second-quarter earnings Monday on concerns about AI infrastructure spending and demand. That’s pushing investors toward safer areas of the market, like healthcare and financials. Jim Cramer said he would handle this “vicious rotation” by buying fundamentally strong companies whose stocks are down the most. We bought Intel on Monday but are restricted on GE Vernova . We also picked up shares of Honeywell Aerospace this morning. 2. Healthcare is a cyclical sector that’s bucking the broader downbeat market and benefiting from the shift away from high-flying tech. “This is a UNH, CVS, Cardinal Health market,” Jim said, highlighting the sector’s best-of-breed companies, including Johnson & Johnson , up 3.6% Tuesday and up nearly 30% year to date. Drugmaker Eli Lilly also got a 3% boost after JPMorgan raised its price target on the stock to $1,400 from $1,300 in its second-quarter earnings preview of the company. The analysts cited strong GLP-1 sales and the international sales of the weight-loss drug Mounjaro as reasons for the hike. 3. Financials have had a good run, too. In fact, it’s the best-performing sector so far this month. Club stock Wells Fargo is starting to catch up to the pack ahead of earnings next Tuesday. Shares are up 6.6% over the past month but still down 5.3% on the year. Jim said it could be a breakout quarter. The bank needs to deliver. We wouldn’t tolerate another disappointment, given the misses over the past few quarters. Our other bank stock, Capital One , is down 15% year-to-date. However, Jim said it’s the “envy of the other banks” after its acquisition of Discover Financial, which created one of the largest banking and payment network companies. Jim added that the stock “should be up, not down” because of the merger. 4. Stocks covered in Tuesday’s rapid-fire at the end of the video were Fiserv , Vertex , Walmart , and Rivian . (Jim Cramer’s Charitable Trust is long INT, GEV, JNJ, LLY, WFC, COF. See here for a full list of the stocks.) 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.
