One of the most anticipated IPOs of 2021 was that of electric vehicle company $Rivian Automotive (RIVN.US)$ . Rivian counts $Ford Motor (F.US)$ and $Amazon (AMZN.US)$ as investors and can also add two members of U.S. Congress to the list of its backers.
What Happened: U.S. Rep. Donald McEachin (D-VA) reported a purchase of Rivian shares. The purchase was made on Dec. 17, according to CongressTrading.
The purchase price of McEachin’s stake in Rivian is listed at $1,000 to $15,000, a relatively small stake in the electric vehicle maker.
The disclosure by McEachin follows an earlier disclosure by U.S. Rep. Marie Newman (D-IL), who purchased a stake of $15,000 to $50,000 in Rivian on Nov. 10, the day the company went public at $78 per share.
Both McEachin and Newman are Democratic members of Congress and now share being RIVN shareholders in common.
Why It’s Important: Members of Congress have come under pressure for buying and selling stocks, especially when they are members of committees and sub-committees that could give them an early look at information or potential government contracts and tax breaks.
Newman, a Democrat serving the state of Illinois, serves on the Committee on Transportation and Infrastructure.
McEachin serves on the Committee of Energy and Commerce and on the Select Committee on the Climate Crisis.
A push for tax breaks for electric vehicles that has generated support from Democrats in Congress could benefit a company like Rivian, which may cause a conflict of interest for Newman and McEachin.
Several members of Congress including Dan Crenshaw and Nancy Pelosi own shares of electric vehicle company $Tesla (TSLA.US)$ . There has been an ongoing debate on if all electric vehicle companies should benefit from new tax breaks or if ones that feature union made electric vehicles should see additional tax breaks.

Biden’s bipartisan infrastructure package allocated $7.5 billion for EV chargers, but Wall Street had assigned greater significance to the Build Back Better incentives which are now unlikely to pass. Democratic West Virginia Sen. Joe Manchin effectively doomed the bill Sunday, saying he wouldn’t vote in favor in the 50-50 Senate.
Shares of electric vehicle companies soon tumbled on Monday.
The stocks of EV start-ups such as  $Lordstown Motors (RIDE.US)$ ,  $Faraday Future Intelligent Electric Inc. (FFIE.US)$  and  $Nikola (NKLA.US)$  all shed more than 7% Monday.  $Rivian Automotive (RIVN.US)$ , hit a new low Monday of $88.40 a share.
Shares of other automakers such as  $Tesla (TSLA.US)$  and  $General Motors (GM.US)$  – both of which no longer qualify for federal EV tax credits but would have under Build Back Better – also lost ground during the trading session.
The EV incentives under the Build Back Better plan include up to $12,500 per vehicle and are viewed as critical to spur consumer demand in EVs, which are priced far higher than their traditional internal combustion engine counterparts.
Source:
Electric vehicle stocks tumble after Manchin rejects Biden’s climate and social plan

$Tesla (TSLA.US)$ 900 will hold steady in the volatility for a few days and should rebound soon.

What happened after FED's meeting?
We are currently having a sector rotation from tech growth stocks into value stocks after Wednesday's Fed policy of 3 rate hikes in 2022 instead of 2 and also speed up tapering and ending it a few months earlier than expected.
The initial taper plan was $10B for treasury securities and $5B for MBS (Mortgage Backed Securities) but now it has doubled the speed of tapering to $20B for treasury securities and $10B for MBS and tapering to end by March 2022. Which shortly after, rate hikes should come in progressively.
The reason for the fed turning hawkish and a quick shift to taper at a quicker pace and more rate hikes was due to inflation at a 40 year high. They also did not expect inflation to rise above 2% in 2021 and kept mentioning about higher inflation rate being transitory. Current inflation is at 6.8% based on the YOY report.
How did this affect the market on Thursday?
When tapering is sped up, liquidity will be tightened in the market. There will not be as much free cash to be pumped into the market to let prices rally like we have seen the last 2 years.
Interest rate hikes will also dampen valuation on growth stocks as growth stocks are priced in more to future earnings expectations. If rates rise, it will hurt those expectations. Investors will start to see bonds and value stocks that thrive in high-interest rate environments a better asset class thus making it more appealing against higher-risk growth stocks.
Small-cap stocks usually also suffer because they tend to loan more money to fund the growth of the company thus making them more sensitive towards the rate hikes.
Thus we saw the $NASDAQ 100 Index (.NDX.US)$ and $iShares Russell 2000 ETF (IWM.US)$ mostly small-cap and tech stocks falling much sharper than $Dow Jones Industrial Average (.DJI.US)$ yesterday which consist mainly of value stocks.
What to do now? Should I exit my growth holdings?
That being said, inflation and rate hikes over the long run still don't pose a huge threat to growth stocks. It is usually short-term when the rotation happens towards value stocks. So take this opportunity to find good entry points into the stocks which are undergoing the selloff.
As always, trade safe & invest wise!
$Apple (AAPL.US)$ $Tesla (TSLA.US)$ $Meta Platforms (FB.US)$ $Microsoft (MSFT.US)$ $Amazon (AMZN.US)$ $NVIDIA (NVDA.US)$ $Adobe (ADBE.US)$ $Invesco QQQ Trust (QQQ.US)$ $SPDR Dow Jones Industrial Average Trust (DIA.US)$

unbelievable! 👀 $Invesco QQQ Trust (QQQ.US)$ $SPDR Dow Jones Industrial Average Trust (DIA.US)$ $Tesla (TSLA.US)$ $Apple (AAPL.US)$

Everyone of us deposits money into the bank, but have you ever wondered, what are banks doing with your deposits?
Qian, a rookie in investing, is trying to grasp as much knowledge about finance and investing as possible so that he can properly manage his $10 million portfolio. He has just pulled his trigger to buy his second stock, which one do you think he bought? Is it $Tesla (TSLA.US)$ $NVIDIA (NVDA.US)$ or $AMC Entertainment (AMC.US)$ ?

$Tesla (TSLA.US)$ who’s gonna buy it tmr

$Tesla (TSLA.US)$ 1000 is very strong support at 50 SMA  as you can see price back to touch 1004 to hold. but it did not move up and away but downward pressure due to Elon selling. If Tesla lose the 50 EMA and cant hold tonight we can see the price down to 968 then bounce back to 1000 or down to 909 to see more potential of upward trend leading after Q4