The CNBC Investing Club with Jim Cramer’s market update, known as the Homestretch, suggests a volatile start to the new month and quarter. A notable rotation is underway, where some of the first-half winners are selling off hard while value names like Dover, DuPont, and Honeywell are gaining traction.
Big industrial players such as GE Vernova and Eaton are declining sharply, while unloved laggards in health care, including Bristol Myers and Danaher, are experiencing a resurgence. The technology sector is underperforming, with cybersecurity and AI semiconductor stocks falling, but some healthcare companies are showing signs of improvement.
The CNBC Investing Club’s rotation may be premature to signal a change in market leadership, as it has already shown signs of moderation. Key principles for investors remain relevant: taking profits during sharp moves and not abandoning undervalued names due to temporary weakness.
Upcoming events include the earnings report from Constellation Brands after closing bell on Tuesday and possible capital return program updates from big banks. No major earnings announcements are scheduled for Wednesday, with notable data releases including June ADP Employment and weekly Mortgage Applications.
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Source: https://www.cnbc.com/2025/07/01/the-unloved-stocks-of-2025-are-catching-a-bid-tuesday-will-it-last.html