How we navigated the wild week on Wall Street
It was a tumultuous week for investors. President Donald Trump ‘s threat to increase tariffs on eight European countries for opposing his bid to take over Greenland sent the stock market into a tailspin on Tuesday, with the S & P 500 and Nasdaq posting their worst days since October. Both averages rebounded the next day after Trump announced that the U.S. had reached a ” framework of a future deal with respect to Greenland ,” and said he wouldn’t impose the higher tariffs. Jim Cramer and Jeff Marks, the Investing Club’s director of portfolio analysis, covered the news during the January Monthly Meeting on Thursday. Overall, the S & P 500 and tech-heavy Nasdaq ended the holiday-shortened trading week down 0.4% and 0.1%, respectively. .SPX .IXIC 5D mountain S & P 500 and Nasdaq 1 week Earnings season also ramped up, with two of our Club holdings reporting underwhelming results. Procter & Gamble posted a mixed quarter on Thursday morning, beating on earnings but missing on revenue. It wasn’t a huge shock to us, given that roughly two-thirds of the quarter was affected by the historic government shutdown, which delayed Supplemental Nutrition Assistance Program benefits. But the worst may be behind the consumer packaged goods giant. CEO Shailesh Jejurikar, who just assumed the role, reiterated the company’s outlook for the year, despite the tough quarter. Capital One also delivered mixed results , beating on sales but missing on earnings, thanks to higher expenses. We’re still bullish on the nation’s largest credit card issuer over the long term and are confident its acquisitions of Brex, announced Thursday, and Discover earlier this year, will unlock more value for shareholders. Shares tumbled on the earnings release into Friday, which prompted us to upgrade Capital One back to a buy-equivalent 1 rating. The market’s ups and downs also prompted us to make some trades. First, we bought the dip on Alphabet Tuesday. Alphabet finished the week down 0.6%. On Wednesday, we booked some profits on Dover as it reached a new all-time high. It was the second time this month that we trimmed the industrial stock, which has been on a tear since the company’s third-quarter earnings in October. Dover reports its fourth quarter later this month, and while management is likely to deliver, we want to protect against a potentially more conservative outlook to start 2026. From this sale, the Club realized a roughly 13% gain on shares bought in May 2024. Finally, we trimmed Qnity Electronics , which has had a parabolic move to kick off 2026, jumping 17.7% year-to-date. Although the DuPont spinoff’s future looks bright as a beneficiary of increased AI spending, we don’t want to get greedy. As we always say, discipline trumps conviction. (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.
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