Morgan Stanley thinks the decision by Tesla Motors (TSLA) to drop the short-range version of the Model S is the right move for the automaker. Though it's a minor blow to the concept of mass market EV adoption, consolidating production around demand makes sense. Only 4% of Model S customers selected the 40kWh battery option. What to watch: Tesla is due to make a dramatic announcement later today with opinion divided if a capital raise is in store, a major expansion of its charging network, or an Elon Musk wildcard. TSLA +1.1% premarket to $44.40, but stay tuned.