We're making a small buy in an oversold market and debating further action

Constellation Brands is selling 20 shares at $236. Jim Cramer’s Charitable Trust now owns 350 shares of STZ after the trade on Wednesday. This increases its weighting to 3% in the portfolio from 2.83%. According to the S & P500 Short Range Oscillator, the market has entered oversold terrain. We're still sticking to our discipline and putting cash to work, even though the market is being held hostage by the bond sell-offs and the increase in yields. Bond prices follow yields in the opposite direction. The market may feel treacherous, but we have already seen a good bounce from session lows. This is due to the fact the market has been oversold. Oversold markets can have positive intraday swings, which is why we approach them with an opportunistic perspective, and look for small stocks to purchase, rather than running from the market. STZ YTD Mountain Constellation Brands The shares of this beer manufacturer have suffered recently due to fears about rising interest rates, and long-term uncertainty regarding how the rise of GLP-1 weight loss drugs like Wegovy will affect alcohol sales. We continue to highlight the improving fundamentals, which were highlighted in the company's quarterly beat and increase earlier this month. Fair enough, the quarter wasn't a perfect one as weakness in Wine & Spirits partially offset strength in Beer. We hope that the management will say, at the Nov. 2 investor's meeting, that it is exploring all options in Wine & Spirits to focus on Beer. The growth in Modelo Especial shares is the main reason for the company's current success. We believe that if we hear about a portfolio evaluation and a commitment by the company to increase shareholder cash returns through an increasing dividend and share purchase, this will be a positive catalyst. We are looking for other opportunities in the market to invest our money because we are long-term investors and prices are low. We are aware of the dangers when the bond markets is in charge, and we do not want to make any rash decisions. This is a great example of the debate we're having internally. We believe Honeywell's (HON), shares have fallen too far, particularly in light of the positive readouts for aerospace names such as General Electric (GE) or RTX(RTX). HON YTD mountain Honeywell Honeywell still needs to provide more details and make comments on Q4 and the next year. But, it effectively removed some bad news from its release of Thursday morning. We would have expected a stock as disappointing as Honeywell's to rally after hearing the news of an improved third quarter. This has not been the case. It follows a worrying trend where many companies post good quarters, only to have their stock wiped out. We are being patient and waiting to put more money into work even though we still have plenty of cash. (Jim Cramer’s Charitable Trust owns STZ and HON. Click here to see the full list. Subscribers to CNBC Club will receive an alert when Jim Cramer makes a trading decision. Jim Cramer waits for 45 minutes after a trade alert is sent before he buys or sells a stock from his charitable trust portfolio. Jim will wait 72 hours to execute a trade if he has discussed a stock with CNBC TV. The above INVESTING Club information is subject to our Terms and Conditions, Privacy Policy, as well as our Disclaimer. A FIDUCIARY DUTY OR OBLIGATION DOES NOT EXIST OR IS CREATED BY YOUR RECEIPT of any information provided in connection with the INVESTING Club. A SPECIFIC RESULT OR PROFIT IS NOT GUARANTEED.

Bottles of Modelo Especial sit on a Los Angeles table on June 14, 2023.