Stocks opened lower to kick off a busy week of retail earnings amid an increasingly tenuous geopolotical environment.
Chaotic scenes confronted investors as Afghanistan's capitol city of Kabul and the country came under the control of the Taliban and thousands of people attempted to flee the country. President Ashraf Ghani fled the country Sunday as the Afghan government collapsed, the New York Times reported.
The takeover followed planned U.S. withdrawal from Afghanistan following two decades of military involvement.
A defense official told CNN the U.S. defense secretary has approved sending 1,000 more U.S. troops into Afghanistan due to the deteriorating security situation, bringing the total of U.S. troops remaining on the ground in the country to 6,000.
The Dow Industrial Average was down 140.33 points, the Nasdaq Composite down 48.44 points and the S&P 500 was down 13.39 points.
Jim Cramer and Action Alerts PLUS senior analyst Jeff Marks discussed the Federal Reserve, Afghanistan, T-Mobile (TMUS) - Get T-Mobile US, Inc. Report, Hyatt (H) - Get Hyatt Hotels Corporation Class A Report, Disney (DIS) - Get Walt Disney Company Report, retail earnings and much more.
Watch the full interview with TheStreet Live at 10:00 a.m. ET in the video below:
U.S. Agency Opens Formal Autopilot Safety Probe
The National Highway Traffic Safety Administration (NHTSA) said it identified 31 Tesla accidents over the past three-and-a-half years, including four in 2021, that were connected to the use of Tesla's 'Autopilot' system.
Following the finding, the agency is looking at the system, which is used in 765,000 Tesla Model X, Model Y, Model S and Model 3 sedans made between 2014 and 2021.
Fedspeak Gets Louder
Minneapolis Federal Reserve president Neel Kashkari joined a growing list of Fed officials exploring earlier-than-expected Fed tapering of bond purchases. Kashkari told Bloomberg Sunday that if strong performance from the U.S. jobs market continues, the Fed will need to consider expediting tapering.
The conversation followed a series of economic data points that led Cramer to draw a similar hypothesis. The producer price index, or PPI, for final demand increased 1.0% in July, exceeding consensus estimates of 0.6%.
Fed Chair Jerome Powell is expected to host a virtual town hall with educators and students on Tuesday at 1:30 p.m with minutes from the Fed's July meeting expected Wednesday.
Another Day, Another Hack?
T-Mobile said it is "actively investigating" claims that a hacker group has breached the personal data of over 100 million customers.
A hacker forum post doesn't name T-Mobile but told Vice Media’s Motherboard that the data is from T-Mobile servers and includes social security numbers, phone numbers, names, physical addresses, unique IMEI numbers, and driver's license information.
Hyatt agreed to buy Apple Leisure Group for $2.7 billion in cash from private-equity owners KKR and KSL Capital Partners.
Apple Leisure is a major purveyor of U.S. charter flights and vacation packages for travel to Mexico and the Caribbean.
Much Ado About Retail Earnings?
Walmart is expected to report non-GAAP earnings per share of $1.56, according to analysts pulled by FactSet.
Other retailers expected to report quarterly results include Target (TGT) - Get Target Corporation Report, Home Depot (HD) - Get Home Depot, Inc. (HD) Report, Lowe's (LOW) - Get Lowe's Companies, Inc. (LOW) Report, Kohl's (KSS) - Get Kohl's Corporation (KSS) Report, Petco (WOOF) - Get Petco Health & Wellness Co. Report and Macy's (M) - Get Macy's Inc Report.
How Much Should You Pay for a Stock?
That was the question dominating Jim Cramer's mind in his latest column on Real Money.
"Think about that before you buy or sell anything. You don't want to throw away a perfectly good stock because its p/e is high. I would be more worried if its p/e is low. That's how perfect the market is usually. It's the imperfections that make the best investments," Cramer wrote.