US equities staged a remarkable recovery last week, defying the usual correlation between stocks and precious metals. The Momentum L/S (+1.3%) saw significant buying interest, with AI winners leading the charge. Cyclicals outperformed Defensives by over 200 basis points, driven by an unexpectedly strong ISM print. Transportation and Travel & Leisure sectors were particularly strong, as Crude prices declined, suggesting a de-escalation in Iran tensions. Software saw some buying interest but remains underperforming Semis. Retail was a notable buyer throughout the day, with ETFs, Mega Cap Tech, and AI Winners seeing increased demand. However, volatility remained a concern, as S&P vols were smoked on the rebound, completing an overnight bid reversal by the US open. Despite this, realized volatility failed to provide a boost, with term structure remaining significantly steeper and skew flatter. Options flow wise, SPX saw quieter activity, while VIX pad saw more call buying, taking advantage of VVIX’s return below 100. The desk also saw upside bought in RSP (playing for broadening dynamics to resume), while IWM hedges re-struck higher on outperformance. Meanwhile, gold and silver vols were in meltdown mode, with flows concentrated in short-dated paper, mostly involving profit taking and position rolling. Overseas, focus shifted to India on trade deal news, with INDA upside getting bought/rolled. Finally, the desk noted that while gold and silver vols were in meltdown mode, flows remained concentrated in short-dated paper, mostly involving profit taking and position rolling.