The Dow Jones Industrial Average was down 135.59 points, the Nasdaq Composite was up 7.67 points and the S&P 500 was down 8.54 points.
Jim Cramer and Action Alerts PLUS senior analyst Jeff Marks discussed Nvidia (NVDA) - Get NVIDIA Corporation Report, Lowe's (LOW) - Get Lowe's Companies, Inc. (LOW) Report, Target (TGT) - Get Target Corporation Report, Krispy Kreme (DNUT) - Get Krispy Kreme Report, Roblox (RBLX) - Get Roblox Report, the Fed and much.
Watch the full interview in TheStreet Live at 10:00 a.m. E.T. in the video below:
Lowe's reported a second quarter earnings beat Wednesday, and raised its full-year revenue outlook, but followed Home Depot in reporting a drop in same-store sales.
The company reported adjusted earnings of $4.25 per share on revenue of $27.6 billion with U.S. comparable same-store sales falling 2.2% in the second quarter.
As of the opening of trading Wednesday, the stock was up 3.97% to $189.50.
Target reported adjusted second quarter earnings of $3.64 on revenue of $25.16 billion, beating estimates on the top and bottom lines.
Target said same-store sales rose 8.7% in the quarter, also exceeding expectations.
As of the opening of trading Wednesday, the stock was down 2.71% to $247.75
Krispy Kreme reported adjusted earnings of 13 cents per share on revenue of $349.2 million, missing the consensus earnings expectation by just a penny.
CEO Michael Tattersfield told Jim Cramer that even with the slight miss, Krispy Kreme had its best second quarter in the company's history with strong results led by the company's global footprint and its transition to an omni-channel model.
Nvidia is expected to report second quarter earnings following Wednesday's closing bell. Consensus Wall Street estimates expect Nvidia to earn $1.02 per share on revenue of $6.34 billion.
Fed Watch Continues
In a virtual town hall Tuesday for educators and students, Federal Reserve chair Jerome Powell said the pandemic is “still casting a shadow on economic activity” but the impact of the delta variant of the coronavirus is still uncertain.
Powell also said that there will be return to the pre-pandemic economy. “We need to watch carefully as the economy continues to get through the pandemic and try to understand the ways that the economy has changed and what the implications are for our policy,” Powell said.
Ahead of Powell's statements Monday, Jim Cramer urged the central bank to continue a patient 'wait and see' approach to any tapering in response to hawkish fedspeak from other Fed members. "If I were the the Fed, I'd say we've got a big delta problem, we've got China, we've got people coming off unemployment benefits, what's the hurry?'" Cramer said.
Minutes from the Fed's July 27-28 meeting are expected at 2 p.m. E.T.
Roblox Aims for the Next Level After the Pandemic
Roblox reported a second-quarter loss of 25 cents a share on revenue of $454.1 million Monday. Analysts had expected revenue of $684.8 million.
When Cramer sat down with CEO and founder David Baszucki to discuss the mixed results Tuesday, Baszucki said that despite the reopening, Roblox is still seeing growth in its daily active users.
Baszucki said the company has grown for the last 15 years because it's about far more than gaming, saying the digital experiences the company provides will fuel growth for the next 15 years.
A Reason to Be Bullish?
Despite what Cramer called a "market reassessment" of the delta variant Tuesday, he said there are still opportunities out there if investors have the diligence to do their homework and adapt to a turning market.
Cramer took to Real Money to explain that sentiment could shift positive just as quickly as it turned negative:
"Are things as dire as all of this? I think the market as a whole is catastrophizing events -- and lord knows, I am a classic slippery slope catastrophizer from way back when. I think you pick at stocks that are collateral damage to this new worldview. The drug stocks, the real estate investment trusts, the foodstuffs all work for the moment. Of course, though, if we catch a break, if everyone from the South is either vaccinated or a recovering covidian, then you are going to have to switch gears in a hurry. So don't get too complacent about your sales. I am unmoved by my bullish stance, even if Home Depot just bushwhacked me with one of its two-by-fours that it can't sell because lumber got too high."