December 14, 2021

Markets:

U.S. stock index futures were marginally lower during morning trading Tuesday after the major averages started the week in the red as Covid omicron fears hit sentiment.

Tesla shares were among the biggest early droppers on the S&P 500, falling 2.3% premarket after CEO Elon Musk announced that that he has sold another $906.5 million in shares.

The Federal Reserve also kicks off its two-day meeting on Tuesday. The central bank will release a statement on Wednesday with quarterly projections for the economy, inflation and interest rates. Chairman Jerome Powell will also hold a press conference.

Investors will be watching closely for commentary around if the Fed plans to accelerate the end of its bond-buying program. At present, the central bank’s asset purchase program will end in June 2022, but several officials have spoken about ending the purchases sooner. Its safe to say there will be twists and turns on Wednesday as Fed Chairman Jerome Powell is widely expected to adopt a more hawkish stance in his post meeting news conference Wednesday.

Portfolio:

We enter today's session holding positions in F, NU, OPEN, and continue to hold ITRM.  The markets have been absolutely handcuffed over the past few weeks as traders wait for this weeks Fed policy meeting and statement to be released tomorrow.  But, growth and tech have been hit so hard over the past few weeks; we just don't see how it's not all priced in already.  We obviously could be wrong; but doubt it.  If Fed has a more patient or safe approach to tapering; it's an absolute rip your face rally.  There is no reason to front run any type of expected move.  Let's focus on quick trade opportunities and be ready to absolutely smash this market once this Fed event passes.  We just need to get through these next two days and then we have our range; for both sides of the trade.  Please be ready today and let's have a strong session.