January 7, 2025

Markets:

U.S. stock futures slipped on Tuesday morning after the S&P 500 and Nasdaq Composite notched a second winning day.

Monday’s advances for the S&P 500 and the Nasdaq were propelled by a surge in chip stocks after Foxconn reported record fourth-quarter revenue. Artificial intelligence darling Nvidia
closed at a record, while the VanEck Semiconductor ETF (SMH) added more than 3%.

Another catalyst for stocks was a report by the Washington Post that said President-elect Donald Trump’s tariff plan would be narrower than previously expected. Trump later disputed the report in a Truth Social post.

Major economic reports that will shape the market’s action loom ahead this week. The Job Openings and Labor Turnover Survey is due on Tuesday, while the ADP private payrolls report is slated for Wednesday. The main event awaits on Friday in the form of December’s nonfarm payrolls report.

It is a four-day trading week, with the New York Stock Exchange closed on Thursday in honor of the late former President Jimmy Carter.

Portfolio:

Great start to the week with ASAN.  We enter todays session only holding three positions; INDI, QBTS, and SOUN.  

We are closely monitoring flow data and price activity as we want to see where the early themes reside in 2025 with momentum and breakouts. Flow remained very bullish with META calls and NVDA calls all day. TSLA flow was mixed but AAPL has some good call flow to start the day before they got sold out. Tech overall remains very strong. Jensen's presentation yesterday at CES clearly defined where AI is headed and one theme that everyone seems to be running with is robotics and self-driving cars.  Essentially, Jensen, just told everyone that TSLA is the future.  If you have yet to watch or read up on his presentation, please do so, it provides outstanding insight into what's being worked on and the future.

Be ready today but remain patient there.  A good amount of data is coming this week.