Stocks declined Friday but came off earlier lows as President-elect Joe Biden unveiled a $1.9 trillion Covid-19 relief package, banks fell after kicking off earnings season and U.S. retail sales were worse than expected.
TheStreet's Katherine Ross and Jim Cramer discussed breaking news in the stock market. Cramer spoke about JPMorgan's earnings, Apple's China story and President-elect Biden's stimulus package.
JPMorgan Chase: Buy Or Sell?
On Friday, JPMorgan Chase JPM posted fourth-quarter earnings that exceeded analysts' expectations. JPMorgan reported earnings of $3.79 a share on revenue of $30.2 billion, compared to analysts' estimates of earnings of $2.62 a share on revenue of $28.7 billion. Investment banking revenue rose 37% to $2.5 billion, driven by a 34% increase in investment banking fees, reflecting higher fees across products, the company said.
The stock was down 1.07% to $139.66 on Friday afternoon.
Cramer said he would defend to anyone that JPMorgan had a flawless quarter. "And the stock was up nicely before people looked at the other banks which were round the pole down and also because people realized it's time for some profit-taking. So, let's be clear JPMorgan was very very good even as Wells Fargo (WFC) - Get Wells Fargo & Company Report was just ok."
Apple: Buy Or Sell?
Apple (AAPL) - Get Apple Inc. Report is planning upgraded MacBook Pro laptops this year with much faster processors, updated displays and the return of its magnetic charger, Bloomberg reported, citing a person with knowledge of the plans.
Cramer said the big theme here for Apple is that China is buying much more than we anticipated. "The fact that China sales are really good is very inspirational and I think that those who don't own it yet are still getting one more chance [to buy it]. It's down 10 from where it was, that's a terrific buy."
Joe Biden's Stimulus Package
President-elect Joe Biden outlined a nearly $2 trillion spending proposal Thursday evening, including raising one-time federal payments to most Americans to $2,000 to boost the U.S. economy
Cramer said the money is going to the wrong place. "We have two economies, this is that K instead of the V. We have the one economy that is doing incredibly well and they're getting checks. And now we have the other economy its just thrown off the cliff and they're getting checks. The checks are not big enough for the people falling off the cliff and they're way too big for the people who are doing well."
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