Executive Summary: The theme is "Defiance". Defying seasonal weakness, defying "Higher for Longer". The "Soft Landing" narrative got a massive boost from Jackson Hole. Tech is leading, but Small Caps (IWM) are waking up.
Market conditions are evolving rapidly. Key developments include:
Based on the current volatility profile, we recommend a defensive posture. The risk-reward skew has shifted unfavorably for long-duration assets. Capital preservation is paramount in this regime.