Stock Market Today With Jim Cramer: Home Depot Falls

Jim Cramer discusses the latest stock market news including Home Depot's earnings, Amazon's pharmacy rollout and Tesla's addition to the S&P 500.
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Stocks traded lower Tuesday as optimism over a coronavirus vaccine faded with the reality that the pandemic continues to escalate in the U.S. and across the globe.

The Dow Jones Industrial Average fell 89 points, or 0.3%, to 29,861, and the S&P 500 declined 0.35% to 3,614. The Nasdaq dipped 0.04% but had moved into positive territory during Tuesday's session.

TheStreet's Katherine Ross discussed breaking news in the stock market. Cramer spoke about Home Depot's earnings, Amazon's pharmacy rollout and Tesla's addition to the S&P 500.

Home Depot: Buy Or Sell?

Home Depot  (HD) - Get Report posted stronger-than-expected third-quarter earnings Tuesday while noting its plans to spend around $1 billion on bonuses and compensation increases for its frontline workers. Shares of Home Depot were down 3.08% to $270.95.

Cramer said Home Depot is down just like the housing stocks are down because these were stay-at-home trades that people say are now done because of Pfizer and Moderna. "Home Depot is being undone by Pfizer and Moderna. These companies have enemies and the enemy is the vaccine. I wouldn't make a bet in favor of Home Depot or against it."

Amazon: Buy Or Sell?

On Tuesday, Amazon  (AMZN) - Get Report officially opened the virtual doors of its Amazon Pharmacy, a new full-service digital pharmacy that lets Amazon Prime members order to fill their prescriptions online and has them delivered directly to their front doors.

Cramer said Amazon has figured everything out where hard goods are concerned. "There's really not much left. They could sell cars and insurance now. Maybe they could start giving a big break on Chinese cell phones next."

Tesla: Buy Or Sell?

Tesla  (TSLA) - Get Report shares were rising sharply Tuesday after the maker of electric vehicles was added to the S&P 500. David Trainer, CEO of investment research firm New Constructs and a Tesla bear, told TheStreet that Tesla's addition "brings huge downside risk to the S&P 500 that may damage the popular passive index."

Cramer said it was about time the electric vehicle maker joined the S&P 500. "It's an acknowledgment that it's very hard to not have that company in the S&P given it's so big. People want Teslas no matter what. They're just going to get better because Musk is so good."

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