So what was said in the fed meeting today - and why did this cause the nasdaq market to sell off? What's going on team, it's ricky with tackling solutions here with a very quick, live stock market update? I hope that i earned your thumbs up if you learned something new, just to start it off, i'm going to try to keep it short and sweet a couple of pointers the feds are intending for the next three months, according to their statements to reduce to shrink Their balance sheets by 95 billion dollars every month. This is expected to last for about three months, and this will start as soon as may. What's going on, why is this being announced interest rates right, i'm sorry, inflation. It has become an issue that the fads have been needing to tackle and they, as of this week, are taking a more aggressive approach.

A very simple question that you should be asking yourself is well: why did the nasdaq market or the overall markets recover for two weeks right? If you guys look back two weeks ago, the market was selling off and then all of a sudden the nasdaq market began to recover. Why did interest rates go away? Did they not rise? Was the russia between ukraine gone? Is inflation? No longer there are oil prices still not high? One thing that you must understand about the stock market and please i encourage you to do your own due diligence, it's not that things got better. It's that things simply did not get worse and because the stock market factors in things right away kind of just like today, with whatever was shared, it factors it in right and there's a reaction. If things don't get worse, then that's kind of good for the market.

Right then, a lot of these tech stocks begin to recover. Of course, news can catapult um, you know the overall recovery if good news is shared or there's actual progress, but one thing that you must understand is that the market also reacts based off of things. Being worse than expected and or better than expected, but also if things simply don't get worse, the market reacts based off of that as well. So as of today, things did get worse with what was shared today in the fed meeting.

The 95 billion is made up of two things. I want you guys to understand it. So if you want to take time and look more into it, you know what to look for and with not out of the 95 billion that is expected to be shrunken off of the balance sheet by the feds. 35 billion is from mbs, and if you don't know what that is, that's mortgage backed securities.

Please look into it right: 35 billion of that 60 billion of that is gon na, be based off of treasury bonds, again shrunken off of the balance sheet for the next three months, 95 billion every single month. This is set to start as soon as may and according to what was said is this was an overall agreement, so they are taking a very aggressive approach to fight against inflation. With that being said, they also said to fight against inflation they're going to raise it. Instead of a quarter percent and now half of a percent, so interest rates are set to rise.

If you don't understand why? Well when inflation is high, the reason the feds raise interest rates, it's to moderate inflation, look into it. It's a very simple kind of like domino effect when inflation is high by raising interest rates, it encourages people or they hope that the overall you know average person begins to spend less money because now it's more expensive when interest rates are higher. So if things are more expensive, then you're expected to potentially spend less that's the reaction that they want to get from raising interest rates and it works right. This is this is like a reaction of what the feds do every time that they try to moderate inflation.

I just want you to uh to understand that. One thing that you must also know is that look at this treasury yields they are at three-year highs. Not a good sign. Look at the 10-year chart look at where we're at right.

Now. Treasury yields are at three-year highs, something to take into consideration with that being said, the vix - i actually want to show you this myself, the vix v i x, which is considered the fear index, guess what happened today after the fed meet right? This was during the midst of the nasdaq market. Selling off everything was selling off the vix was at all-time highs. This was during the attack of like russia and ukraine, all that oil prices were shooting through the roof and then all of a sudden things weren't getting worse fear, was getting pulled out of the market.

People began to buy back right because things weren't getting better. They simply weren't getting worse. The vix index began to pull on back kind of correcting itself back to normal levels today with what was shared, but it quickly began to correct itself. The reason i'm sharing this with you is people continue to talk.

Uh continue to talk about not just people, but a lot of news outlets. I don't know if this is to instill fear, but i don't think there's anything wrong with being aware of what people are concerned of right. They expect the markets to drop potentially another 10. So with that being said, does this mean that you know we should be scared that there could be more of a downside? This is exactly what we're going to talk about during tomorrow's live training session right we killed it today right i treated sqq.

This is an inverse etf. This thing gapped up six percent six point: five percent during normal trading hours and one point two: five percent during after market hours, the nasdaq market right now after market hours is down, which means that sqq is up. But does that mean that i'm going to continue to trade it? You can see that i only left myself with one share. I'm very grateful for the 16 000 day that i had today, but i'm gon na have a very interesting topic to talk about, especially for our swing traders and for our long-term investors.

So again, if you guys want to join us for our live trading session tomorrow, i trade live every single morning and you guys can click the second link down below and that will send you on over to our learn plan: profit 2.0, home page. So again, this breaks down everything, that's included. It's all lifetime access. You get access to the a2z video lesson, library you get daily access to my daily live training sessions.

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All of the flags all of the wall, street shirts and, of course some of the extras down here, feel free to shop around and again that's at shoptechbuds.com. So i'm excited for tomorrow's live trading session. Make sure that you guys set your alarms for market open and, like always, continue working hard continue following dreams? Let your passion be what drives your success and, like always, let's make sure that we end the year on our green now. Take it easy team.