December 6, 2021

Markets:

Stock futures traded mixed Monday morning, with investors further weighing the potential impacts of the Omicron variant after last week's volatile trading. Bitcoin prices edged marginally lower after a weekend sell-off.

Bitcoin prices (BTC-USD) steadied and fell only marginally Monday morning after plunging over the weekend. The largest cryptocurrency by market capitalization sank by as much as 21% on Saturday, according to Bloomberg data, to fall to just above $42,000. Though no single obvious catalyst was behind the drop, some pundits attributed a combination of jitters about the Omicron variant, and anticipation for a faster asset-purchase taper by the Federal Reserve, to the volatility in the cryptocurrency. Prices hovered above $48,000 intraday on Monday. 

The Fed's next monetary policy moves, in the face of the dual concerns of rising inflation and now the Omicron variant, have become a central focus for investors. Fed Chair Jerome Powell said last week that it could be appropriate to "wrap up [its] purchases a few months early," which has in turn led to speculation that at least one interest rate hike could come soon following the end of that program. Investors had initially been concerned about the specter of tighter monetary policy at a time when growth may already come under pressure due to the latest coronavirus threat. But with inflation rising at the fastest rate in at least three decades according to several major measures, the focus of the Fed right now has shifted to reigning in rising prices, according to a number of economists. 

Portfolio:

We enter the new trading week holding positions in OPEN, EDR, PSTG, F, VALE, and holding itrm.  We now enter the week that finally will turn the market into a favorable trend pattern we believe.  This is a time to be ready and potentially take full advantage of set-ups developing.  Opportunities are rising within some sectors being absolutely crushed.  Be patient and allow to fully materialize and then let's profit. Let's have a great session today and start the week strong!