Jim Cramer urges investors to buy stocks amid rising market tensions
- The S&P 500 remained flat, navigating challenges posed by rising interest rates.
- Jim Cramer advised investing in Broadcom and Bristol Myers Squibb while exiting Constellation Brands.
- Investors are urged to take advantage of current stock opportunities amidst market fluctuations.
On February 18, 2025, the S&P 500 index in the United States remained stagnant, despite lingering near its record highs. This stability in the stock market followed a rally the previous week, triggered by the absence of immediate reciprocal tariffs from President Donald Trump on U.S. trading partners. However, rising interest rates posed a challenge, with the 10-year Treasury yield climbing above 4.5%, causing concern among investors. Amidst these fluctuations, Jim Cramer of the CNBC Investing Club announced his decision to exit a position in Constellation Brands and advised buying shares of Broadcom and Bristol Myers Squibb. He noted the favorable conditions of Broadcom, attributing its recent 2% stock drop as an opportunity for investors to buy into the company, especially as it is in discussions to potentially acquire Intel's chip-design business. On the other hand, he mentioned Bristol Myers Squibb as having a solid dividend and effective management despite its perceived underperformance following a recent earnings report. Cramer also expressed concerns regarding Nvidia due to the efficiency of DeepSeek's AI model potentially leading to decreased demand for Nvidia’s AI chips from major data center clients like Microsoft and Alphabet. He plans to elaborate on Nvidia's situation during the upcoming Monthly Meeting for the Investing Club, highlighting the evolving dynamics in the tech sector’s investment landscape.