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. The S & P 500 is down about 1% on Wednesday, putting the index on pace for its worst session since mid-December. Mega-cap tech stocks are dragging the market lower with big declines across the Magnificent 7 and Broadcom . The financials are having another rough day as big bank investors took profits in Citigroup , Bank of America , and Wells Fargo after earnings, following a similar trend with JPMorgan on Tuesday. To be fair, Wells Fargo technically missed Street estimates on both revenue and earnings per share. Still, the broader takeaway is that bank stocks often struggle to react positively to earnings when shares have already rallied into release. This pattern is why we sold some Wells Fargo and Goldman Sachs on Tuesday. The two main standouts are energy and consumer staples . Energy has been rallying alongside rising WTI crude prices amid concerns that civil unrest in Iran could disrupt supply. The consumer staple sector is also having a big day. Staples may be known for their big dividend yields and sluggish top-line growth, but it’s a group the market tends to rotate into when market volatility picks up, especially in AI-related stocks. That’s a key reason we began buying shares of the household-products company Procter & Gamble in November and continued to add to the position earlier this month. Up next : There are no major earnings after the closing bell. Thursday is a big day of earnings with Goldman Sachs, BlackRock , Morgan Stanley , and Taiwan Semiconductor scheduled to report. On the data side, we’ll see weekly jobless claims. (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.
