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: Stocks are nicely higher Wednesday thanks to deeply oversold conditions and some good news on the inflation front. The consumer price index report for February came in slightly cooler than expectations, rising 2.8% year over year. Although the Federal Reserve is unlikely to adjust policy at its upcoming meetings in March and May, the latest data has the market feeling better about inflation, and expectations of a possible cut in June are starting to grow. For the second session in a row, some of the most beaten-down tech stocks are bouncing the strongest. Nvidia , CrowdStrike and Broadcom are some of the biggest gainers in the portfolio. Our financials also are bouncing, led by Capital One , our newest stock. We took a stake last Thursday and made additional buys on Friday, Monday and Tuesday. Dented defensives : On the other hand, the bloom has come off the rose for those defensive, non-economically sensitive stocks that were bid up way too aggressively over the past week such as Procter & Gamble . Including Wednesday’s move, shares of P & G are down roughly 4% over the past two days. Consumer staples are by far the worst-performing sector in Wednesday’s session, followed by health care. We have been pointing out that these rallies were unsustainable, which is why we’ve booked profits in Bristol Myers Squibb , Abbott Laboratories (twice), Linde and GE Healthcare into relative strength. The rotation could flip back if tariff talks get more aggressive or if there’s sluggish economic data. But those sales helped us replenish our cash position and maintain our flexibility as we made opportunistic buys across tech, financials, and discretionary-based stocks. In addition to the those aforementioned Capital One buys, we’ve picked up more shares of CrowdStrike, Goldman Sachs , Disney , TJX Companies and Texas Roadhouse so far this week. Tech talk: Headlines involving two of our tech giants caught our attention this afternoon. First, the Federal Trade Commission asked a judge to delay a case against Amazon over alleged deceptive practices involving Prime due to budget and staffing shortfalls (After the close Wednesday, the FTC lawyer said he misspoke and the agency
