Club meeting recap: Cramer outlines the Club stocks that are well-positioned in a volatile economy

Published Wed, Mar 15 202311:56 AM EDT

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 Wednesday's key moments. Bank woes pressure stocks Stocks that work Stick with China-exposed names 1. Bank woes pressure stocks Equities tumbled Wednesday, dragged down by Credit Suisse (CS) — which plummeted more than 16% to an all-time low — and the broader financial sector. Banks have come under pressure since the collapse of regional lenders Silicon Valley Bank and Signature Bank less than a week ago, stoking fears of contagion. Wells Fargo (WFC) and Morgan Stanley (MS), the Club's two bank holdings, were both down more than 4% in midmorning trading. Meanwhile, the market appeared to ignore fresh U.S. government data Wednesday showing wholesale prices and retail sales fell in February — a sign that the Federal Reserve's interest rate hikes are cooling an overheated economy. All major U.S. stock indices were down, with the S & P 500 losing roughly 1.35%. Oil prices, meanwhile, also dropped on growing recession fears, with West Texas Intermediate crude falling below $70 a barrel for the first time since late 2021. 2. Stocks that work amid volatility Despite mounting economic uncertainty and the subsequent market volatility, there are stocks in the Club portfolio that are holding up and poised to ride out the storm. Procter & Gamble (PG) is one, which should continue to benefit from receding raw material costs and ultimately grow revenues and earnings this year. Palo Alto Networks (PANW), a leader in cybersecurity, is a solid stock we would look to buy more shares of on weakness. In health care, we remain supportive of Eli Lilly (LLY) and Humana (HUM), two names resistant to higher interest rates and upheaval in the banking sector. Lastly, discount retailer TJX Companies (TJX) is well-positioned to serve consumers seeking discounts in an economic slowdown. We added to our position in TJX earlier Wednesday. 3. Stick with China-exposed names China continues to take steps towards fully reopening its economy after abandoning its zero-Covid policy late last year, including allowing foreign exporters to meet with local authorities to assess demand. That bodes well for Club holdings with significant China exposure, all of which are poised to return to growth this year. Those names include Estee Lauder (EL), Starbucks (SBUX) and Wynn Resorts (WYNN). (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.