3 takeaways from the Investing Club’s ‘Morning Meeting’ on Tuesday

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: We want growth without inflation WMT, HD earnings beats boost retailers Quick mentions: CTRA, DIS, WFC 1. We want growth without inflation Stocks were mixed Tuesday, with tech names keeping a lid on the Nasdaq as bond yields moved higher. The Dow Jones Industrial Average was up for its fifth straight session. West Texas Intermediate crude, the American oil benchmark, fell 2.5%, which bodes well for inflation. Jim Cramer has repeatedly said that he believes oil’s peak in June helped cool down inflation in July. While the market and economy have shown promising signs recently, Jim emphasized Tuesday: “We want growth without inflation. We don’t want oil to be too hot.” 2. WMT, HD earnings beats boost retailers Home Depot (HD) and Walmart (WMT) reported earnings beats before the bell on Tuesday, pushing other retailers’ stocks up, including Club holding Costco (COST). While we held positions in both Walmart and Costco earlier this year, we sold off the former after its warnings of excess inventory and the potential impact to its bottom line. Costco, on the other hand, has not faced the same kind of inventory issues. It’s also successfully raised prices for some items and held prices steady for others, all while maintaining strong sales. This week is chock-full of other retailers reporting earnings. See a list here . We’ll be watching each one as they reveal their financial results, and in turn, provide insights on consumers spending and inflation. 3. Quick mentions: CTRA, DIS, WFC We also have updates on some other Club names. Natural gas soared roughly 5% on Tuesday, spiking to its highest level since late July. This is good news for Club holding Coterra Energy (CTRA), which Jim calls “the best natural gas company in the country.” We have reviewed Dan Loeb’s recommendations on Disney (DIS), and we believe there’s nothing revelatory there. Cost cutting, for example, is something we’re sure the company already has on its radar. As for Loeb’s urging that Disney spin off ESPN, we believe that while that could be good for the company’s bottom-line in the short-term, having a live sports component to its streaming is crucial, especially since it helps differentiate its product from other services like Netflix (NFLX). Banks have been performing well recently, and we believe that the best ones to own right now are Bank of America (BAC) and Club holding Wells Fargo (WFC) for their large deposit bases. (Jim Cramer’s Charitable Trust is long CTRA, COST, DIS and WFC. 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.