P&G is recommended for purchase by Jim Cramer as the U.S. dollar weakens.
According to CNBC's Jim Cramer, the recent weakness in the U.S. dollar could benefit consumer staples giant PG.
In October, P&G, the manufacturer of Crest toothpaste, Tide laundry products, and Pampers diapers, had predicted that foreign-exchange headwinds would negatively impact their fiscal 2024 sales growth, despite anticipating a positive impact from lower commodity costs. However, since then, the DXY has fallen by approximately 2%.
Cramer stated that the DXY, which measures the greenback against six other currencies including the yen and the euro, is currently trading at its lowest level since mid-September, indicating that the dollar is sinking like a stone.
P&G is better positioned to handle foreign-exchange dynamics, according to Cramer, while the commodity deflation tailwind remains intact. Cramer's Charitable Trust, which is used by the CNBC Investing Club, has a stake in P&G.
"P&G is now better than before, so you should buy it and not let the dollar harm them," Cramer advised.
On Tuesday, P&G's stock price increased by approximately 0.1%, reaching around $152.60 per share, after three consecutive days of gains.
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