Executive Summary: Hello Q2! The first quarter is in the books, and the bulls are clearly in charge. The S&P 500 is knocking on the door of the psychological 6,000 level. The catalyst was the "Goldilocks" Jobs Report—not too hot, not too cold.
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.