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 Thursday’s key moments. Nvidia boosts tech stocks Debt ceiling worries persist Costco earnings on deck 1. Nvidia boosts tech stocks Stocks trended higher in morning trading Thursday, buoyed by Club holding Nvidia ‘s (NVDA) blowout quarterly earnings Wednesday after the bell. The chipmaker’s forward guidance for its fiscal 2024 in particular was breathtaking — management expects $11 million in sales vs. estimates of around $7 billion — one of the biggest guide ups we’ve ever seen. It stems from the huge demand for Nvidia’s data center chips that power generative artificial intelligence (AI). The stellar print sent shares of the chipmaker surging 25% Thursday, pushing the company close to a $1 trillion market cap. The positive results added 1.4% to the Nasdaq, boosting our mega-cap tech stocks Microsoft (MSFT), Alphabet (GOOGL), Amazon (AMZN), and Meta Platforms (META), all of which are quickly adopting artificial intelligence. 2. Debt ceiling worries persist As debt ceiling talks drag on, with no deal yet heading into the Treasury’s June 1 default deadline, Jim Cramer’s trusted S & P 500 Oscillator was at a minus 2.38% as of Wednesday’s close. A minus 4% signals an oversold market, so we’re not quite there yet. Looking back to the 2011 debt ceiling, the Oscillator hit minus 11.74% as investors pulled out of stocks before a deal was finally struck. The tense debt ceiling debate compelled Fitch Ratings to put the United States’ AAA rating on “rating watch negative,” suggesting it could downgrade U.S. debt if political leaders can’t come up with a solution. House Speaker Kevin McCarthy said he is optimistic for a “more productive day” with negotiations. 3. Costco earnings on deck Club holding Costco Wholesale (COST) will report its fiscal-third-quarter 2023 earnings Thursday after the bell. The results over the short term may be pressured as consumers have been pulling back on their discretionary spending, a theme we’ve been seeing this entire earnings season. The sales picture is mostly understood because the retailer reports on a monthly basis. The question will be margins, even though Costco is a volume company. All that said, we’re sticking with the discount retailer, as we still it to raise its membership fees and pay a special dividend in the near future. “I’m in Costco for the long term,” Jim said. “That’s where the money is made.” (Jim Cramer’s Charitable Trust is long NVDA, MSFT, GOOGL, AMZN, META, COST. 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.
