Every weekday, the CNBC Investing Club with Jim Cramer does a live “morning session” at 10:20am ET. Here’s a recap of Tuesday’s key moments. Moderation Exercise on CPI Data Cut P&G Wait to Buy LLY 1. Exercise Moderation on CPI Data Stocks soared on Tuesday after the Department’s Consumer Price Index (CPI) November’s US jobs report showed prices rose at their slowest pace since last December. The S&P 500 was up more than 1.5% by mid-morning. However, we urge investors to exercise caution as wage and food inflation remains high. The Federal Reserve is also unlikely to significantly reduce interest rate hikes until inflation falls further. However, we do recognize that 2 of the 3 macroeconomic factors preventing a sustained market rally appear to be gradually resolving, including China’s Covid-19 restrictions and inflation. 2. Trim P & G We are selling 100 shares of Procter & Gamble (PG) at around $152 each to take advantage of Tuesday’s market rally. PG has seen big gains in recent weeks and we continue to like this stock as a recession-proof name that will only be helped by a weaker US dollar and lower gross costs. 3. Wait to buy Eli Lilly Eli Lilly ( LLY ) said Tuesday it expects 2023 revenue to grow ahead of Wall Street expectations. But the drug company’s earnings per share guidance fell well short of analysts’ forecasts. This is not surprising given Eli Lilly’s plans to invest heavily in research and development in the coming year. We remain bullish on the company, but expect profit-taking from the weaker earnings guidance. We advise to be patient in the short term before buying more shares. Shares of Eli Lilly were trading up about 0.62% at $364.96 a share by mid-morning Tuesday. (Jim Cramer’s Charitable Trust is long LLY, PG. See a full list of stocks here.) As a subscriber to the CNBC Investing Club with Jim Cramer, you’ll receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a share in his charitable trust portfolio. If Jim has discussed a stock on CNBC TV, wait 72 hours after issuing the trade alert before executing the trade. INFORMATION ON THE ALTERNATE INVESTMENT CLUB IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, WITH OUR DISCLAIMER. NO OBLIGATION OR FIDUCIARY DUTY EXISTS OR IS CREATED BY YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTOR CLUB. NO SPECIFIC RESULTS OR BENEFITS ARE GUARANTEED.
