January 18, 2022

Markets:

U.S. stock futures fell sharply Tuesday morning as investors geared up for a holiday-shortened week rife with quarterly earnings reports from companies across all three major indexes.

Wall Street was closed on Monday in observance of Martin Luther King Jr. Day but will resume trading Tuesday amid a flurry of corporate results unveiled ahead of the session: Goldman Sachs (GS), PNC Bank (PNC) and Bank of New York Mellon (BK) released earnings reports for the last three months of 2021 before market open.

On the economic front, investors will also tune in to fresh data out of Washington due out Tuesday, including fresh reads on the New York Federal Reserve’s Empire Manufacturing Index and the National Homebuilders Association’s Housing Market Index.

The Department of Treasury is also set to report its latest print on Net Long-Term TIC Flows, which tracks the flow of Treasury and agency securities, corporate bonds and equities, into and out of the United States.

The S&P 500 is down 2.79% year-to-date, while the Dow has lost 1.84%. The Nasdaq has shed a whopping 5.93% since the start of this year, with more than one-third of companies in the index at least 50% from their 52-week highs.

Portfolio:

We enter today's session holding positions in CARS, ZION, and continue to hold itrm until there latest test results are released..  Very nice week for us last week and we will possibly be adding today as queue is igniting.  We love the current market activity and the vol / price activity.  The current cycle is creating massive opportunity for those ready to take advantage of it.  Let's have a great session today and anticipate further updates and new trade release.