Club meeting recap: A chance to buy stocks, watching Caterpillar, China stocks

Published Mon, May 1 202311:46 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 Monday's key moments. Potential buying opportunity ahead of Fed meeting Watch Caterpillar China activity good for WYNN, EL 1. Potential buying opportunity ahead of Fed meeting Stocks climbed to ring in the month of May after all major averages delivered gains for April. The move comes after JPMorgan (JPM) announced it will acquire a majority of assets and certain liabilities of First Republic Bank. Regulators on Monday seized control of the troubled bank, which saw clients withdrew billions in deposits after the collapse of Silicon Valley Bank. Meanwhile, investors are anticipating the interest rate decision from the Federal Reserve on Wednesday at its May meeting. The market is pricing in a 25-basis point increase but if the central bank says it's still relying on incoming economic data, "the market might sell off," Jim Cramer said Monday. "There could be a buying opportunity." 2. Watch Caterpillar We may be looking to put some cash to work and add to our position in infrastructure giant Caterpillar (CAT). While some analysts are bearish on a slowdown in the sector, we are not buying it. Once federal funds from the government's Inflation Reduction Act are unleashed, Caterpillar will likely be one of the biggest winners of a prolonged infrastructure upgrade in the U.S. We're bullish on CAT long term because as funding is distributed, new projects will flow into the company's pipeline. Shares of CAT were flat Monday at $218 per share. 3. China activity is good for WYNN, EL Shares of gaming giant Wynn Resorts (WYNN) were trading 2% higher at $116 per share Monday on the back of strong activity in Macao, China's popular gaming hub. Gross gaming revenue for April in Macao rose 450%, well ahead of the 349% estimate. That's the best monthly result since January 2020. Still, Oppenheimer said there could be one more soft quarter at Club holding Estee Lauder (EL), which gets about one-third of its revenue from the region, as travel retail still recovers. The firm lowered its price target on EL shares to $290 from $300 Monday. We'll get a better read into the Chinese consumer when the prestige beauty brand reports earnings Wednesday morning before the bell. (Jim Cramer's Charitable Trust is long CAT, WYNN, EL. 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.