This auto stock 'should be bought here,' Cramer says

Published Tue, Aug 1 202311:47 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 Tuesday's key moments. Stocks pull back Ford is a buy Watch Caterpillar 1. Stocks pull back U.S. equities were mainly lower Tuesday morning — the S & P 500 was down 0.38% and the tech-heavy Nasdaq Composite fell 0.5% — as bond yields climbed higher, with that of the 10-year Treasury back above 4%. With the stock market still overbought, per the S & P 500 Short Range Oscillator , Jim Cramer encouraged investors to be cautious following a strong July. The market has been putting recession concerns aside on the back of a strong second-quarter earnings season, while meme stocks like Tupperware (TUP) are all the rage. "I don't like froth. Froth is led by companies like Tupperware," Jim said. "Froth is a bad sign for the stock market." 2. Ford is a buy Ford Motor Co (F) said Tuesday that orders for its electric F-150 Lightning pick-up truck have surged 600% since announcing price cuts last month. The automaker had lowered prices in a bid to to lure in new customers and, as with rival Tesla (TSLA), the strategy appears to be paying off. Shares were up 0.64% in late morning trading, at more than $13 each. "The stock is finally reacting correctly. I think it should be bought here," Jim said, adding that he's "very glad" that production on the F-150 Lightning is restarting. 3. Watch Caterpillar Caterpillar (CAT) surged over 7.5% after the construction-equipment manufacturer posted strong second-quarter results Tuesday, beating analysts' estimates across the board. Shares hit an all-time high, climbing to around $285 apiece. Amid this surge, the Club is looking for an opportunity to trim some shares of CAT to take profits. Stay tuned for a full Club analysis of the results Tuesday afternoon. (Jim Cramer's Charitable Trust is long F, CAT. 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.