Statements for July have just been posted. The seasonal effects this time of year typically result in low volatility and range bound markets – not the most ideal environment. However, the buzzword of the past several months has been “AI” and that has fueled an incredible rally across the broader markets along with declining inflation. Quite frankly, the move caught just about everyone by surprise as market positioning has been bearish over the past several months. Eventually those investors that are on the wrong side of the market must unwind their positions and that provides the fuel that sponsors the move higher. It’s one big cycle, rinse/repeat. Nonetheless, the AI related rally has been losing some steam as we head into a notoriously negative period for equities. August and September have declined on average over the last ten years. It appears the markets are setting up for similar behavior – so we are hoping for some nice opportunities on the short side. Let’s see.