Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. Markets rebound: Stocks are making a comeback since the opening lows, led higher by technology and the Nasdaq , which hit another record high. One reason behind the upside reversal may be the bond market. After almost ouching 4.33% on the 10-Year Treasury, yields began to dip and moved back below 4.3%. Honeywell : We’re also downgrading Honeywell to a 2 rating . After more reflection on the company’s third-quarter earnings results , we believe Honeywell’s execution challenges in the last quarter combined with continued softness in its industrial automation business are overshadowing the company’s the company’s efforts to simplify its diversified business portfolio around higher-growing end markets. The company lowered its full-year guidance two quarters in a row — in July, it was for margins, earnings and cash flow, while sales got revised last week — putting the stock in our penalty box. Honeywell also lost another long-time bull in Wolfe Research after the firm downgraded its rating Monday to a hold-equivalent on concerns about another year of sluggish growth. On the other hand, Wolfe upgraded Dover to a buy-equivalent outperform on the same day. We agree that of the two reasonably priced companies, Dover is a better growth story and stock to buy right now. Arrivederci Oleato : Bloomberg reported that Starbucks will permanently remove its Oleato olive oil drinks from its core menu beginning Nov. 7. We don’t think this drink ever caught on with the public following its U.S. rollout earlier this year and won’t be missed. More importantly, this update is perfectly aligned with one of the core tenets of CEO Brian Niccol’s “Back to Starbucks” plan. If Niccol can simplify a complex menu, the company should start to see some improvements in how quickly it delivers drinks and food to customers. We will hear more about this broader strategy on the company’s earnings call Wednesday night. Up next: We have a busy few days ahead. Some of the big names reporting after the bell are Alphabet , AMD , Snap , Chipotle , Visa , First Solar , and Reddit . Before the bell Wednesday we’ll see the quarters from Eli Lilly and GE Healthcare . Caterpillar , Humana , Brinker International , AbbVie , Trane Technologies , Wingstop , Otis Worldwide , Shake Shack , and Illinois Tool Works are handful of the other companies reporting. On the data side, we’ll see the ADP payroll report and the advanced read on third-quarter GDP. (See here for a full list of the stocks in Jim Cramer’s Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Starbucks Coffee customer using mobile app to pay in Atlanta, Georgia.
Jeff Greenberg | Universal Images Group | Getty Images
Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street.
