10 things before the opening bell

10 things before the opening bell
Federal Reserve Chairman Jerome Powell appears during a Senate Banking Committee hearing on Capitol Hill in Washington, Tuesday, Nov. 30, 2021.Andrew Harnik/AP Photo

Welcome to 10 Things Before the Opening Bell.


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1. Powell confirms what markets suspected. After nearly two years of rates at near zero, the Fed is set to reign in its easy money policies. In a broadly expected move, the Federal Reserve kept short-term interest rates steady and said it would raise them as soon as March.

"With inflation well above two percent and a strong labor market, the Committee expects it will soon be appropriate to raise the target range for the federal funds rate," the Fed said in its statement.


But Powell also hinted at a more aggressive approach, saying in his press conference that he wouldn't rule out a rate hike at every FOMC meeting this year.

The Fed Chair said that monetary policy will become much less accommodating as the year progresses. "I think there's quite a bit of room to raise interest rates without threatening the labor market," Powell said.

Investor and GMO co-founder Jeremy Grantham, meanwhile, doubled-down on his "superbubble" concerns, and said changes in Fed policy won't be able to prevent an era of high inflation, slow economic growth, and labor shortages.

"We're going to live in a world of bottlenecks and shortages and price spikes everywhere," Grantham said.

2. US stock futures are roughly flat after a super-volatile day so far. Markets have been flip-flopping from positive to negative and back, as investors digest yesterday's Fed meeting. Take a look at what's happening here.


3. Three stock market vets break down why Monday's dramatic rebound was "sketchy at best." Indicators are signaling that the stock market correction will last, but bearish opportunities still exist as pandemic favorites report earnings — here's how you can get in on short-term gains.

4. Earnings on deck: Apple, Danaher, and McDonald's, all reporting.

5. Goldman Sachs thinks it is time to buy the dip. Any further weakness in stocks, according to the bank, is an opportunity to ride the upside for the rest of 2022. The bank doesn't think the correction will turn into a bear market.

6. Here's why Jeremy Grantham could be wrong about an epic market crash. He had said in 2010 that stocks were in a bubble that could soon "crack," but the S&P 500 has jumped 260% since then. Many strategists think a huge collapse remains unlikely.

7. Robinhood said it can now solidly handle surprise market events, a year after the GameStop fiasco. The trading app said it now has a net capital position of $2.7 billion, which is 25 times what the SEC requires. This comes after Robinhood last year restricted trading on meme stocks.


8. A V-shaped recovery in the stock market is likely, according to Fundstrat. The firm said a low in January could lead to new highs in February, according to Tom Lee's latest note. "The faster the decline, the faster the recovery."

9. These 10 artists' NFTs have gained the most in value, with some leaping more than 6,000%. Looking at an artist's previous collection can help determine whether or not they will surge in the future. A Christie's executive and data analyst shared how to pick digital art with the best growth potential.

10. Buy the dip in stocks in these four sectors, according to UBS. Even as markets have gotten whacked to kick off 2022, it could still be a good chance to buy. See where the best opportunities lie, according to UBS's head of equities in the Americas.

Compiled by Phil Rosen. Feedback? Email prosen@insider.com or tweet @philrosenn.

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