CNBC Investing Club

What Cramer is watching Thursday — market terrible again, trying to price in a recession

A person walks through the Wall Street subway station near the New York Stock Exchange (NYSE) in New York on May 27, 2022.
Angela Weiss | AFP | Getty Images

What I am looking at June 30, 2022

  • Another broad market sell-off based on trying to price in a recession. It never seems to end. I expect Micron (MU) to be tough when it reports earnings after the closing bell Thursday, but I don't know whether it's in the stock. Worst first half of the year for the stock market since 1970. May personal income up 0.5% vs. 0.4% estimate; spending misses; core personal consumption expenditures, the Federal Reserve's favorite inflation indicator, rose 4.7% year over year vs. 4.8% estimate.
  • RH (RH) cuts full-year revenue outlook, a surprise based on interest rates worries and confidence. Bookends a really bad quarter by Bed Bath & Beyond (BBBY). But we aren't sure how much of the latter was execution. RH, formerly Restoration Hardware, has a good balance sheet but BBBY balance sheet is a bit of a shambles. JPMorgan cuts price target on RH to $300 per share from $400. Loop goes to $1 per share from $5 for BBBY, deteriorating, rough U.S. macro. Morgan Stanley goes to $2 per share from $7. I really don't think Bed Bath & Beyond makes it.

More In Jim’s Morning Thoughts

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