Jim Cramer says next week’s economic data will move markets

CNBC’s Jim Cramer said Thursday that next week’s light earnings calendar will focus investors’ attention on a few key reports and economic data releases.

Stocks rallied on Thursday as investors shook off an earlier session of selling after the U.S. Federal Reserve suggested further interest rate hikes were still a possibility. The Dow Jones Industrial Average rose about 72 points, or 0.14%, while the Nasdaq Composite and S&P 500 rose about 2% and 1%, respectively. Semiconductor stocks led the rally, extending the market’s AI-driven rally and helping lift major averages.

Kramer then turned to the week ahead.

Cramer said one of the biggest topics to watch is oil, as crude oil exports through the Strait of Hormuz increase and the U.S. Navy lifts its naval blockade. If peace talks with Iran continue to progress, he expects “a new glut will cause oil prices to fall shockingly.”

He noted that a sustained decline in oil prices will ease inflationary pressures and ultimately support lower interest rates.

carnival Cramer said the report provides investors with an opportunity to learn how the Iran war has affected travel and how the recent drop in fuel prices could affect demand. Cramer prefers viking holdings Carnival is also well-run because of its high-end customer base and pricing power, he said.

After closing, fedexreports that it is a holding in Cramer’s Charitable Trust, a portfolio used by the CNBC Investment Club. Kramer recently visited the company’s Memphis headquarters and remained bullish on CEO Raj Subramaniam’s network optimization and cost-cutting strategies. He noted that the company has a history of issuing conservative forecasts, meaning weak results could present a buying opportunity.

home builder KB Home is also reported. Mr. Kramer said he expects management to address the impact of rising interest rates on housing demand.

“The housing industry feels like it’s at a standstill right now,” he says.

New home sales data offers new insight into the struggling housing market, and Cramer believes it deserves more attention from central bankers. “No one knows what this number will be,” Kramer said.

Casey’s General Store We will also hold an analyst day. Kramer said that while events like this don’t always move stock prices, he believes investors continue to underestimate the power of the convenience store operator’s small-town business model.

After closing, micron technology I will report. Cramer called this quarter “the most important quarter of the week,” saying expectations are unusually high after memory chip makers’ massive results this year. He said Micron has significantly outperformed expectations and needs to raise guidance to continue rising.

The Federal Reserve’s preferred inflation measure, the Personal Consumption Expenditures Price Index report, will be released Thursday morning. Mr. Cramer said he was encouraged by Mr. Warsh’s comments after his first meeting as Fed chair, suggesting the Fed may be less reliant on backward-looking inflation data like PCE going forward.

restaurant giant Darden Restaurants is also reported. Cramer said the company, which owns Olive Garden and Longhorn Steakhouse, has a long history of surprising investors with upside, and he likes the stock heading into this quarter because lower gas prices will provide a tailwind for consumer spending going forward.

fedex cargorecently spun off from FedEx and will host a conference call for business updates. He said carriers with smaller truckloads are well-positioned to benefit from growing e-commerce demand, cost reductions and ultimately self-driving truck technology.