“Inter-sector and pairwise stock correlations remain at historic lows suggesting it is fertile ground for active management. Yet, market returns, earnings upside, and institutional investor exposure remain highly concentrated in Big Tech... To ‘broaden’ sources of returns we think seeking elements of the fundamental characteristics of Big Tech outside in the rest of SPX (and beyond) can be a good starting point to deal with a concentrated market.”

 “We expect the 1Q sales & earnings results, attractive brand positioning, and upside to estimates support further gains for shares... CMG maintains among the highest quality growth in the sector, w/ leading traffic momentum, & a resilient customer base, providing still compelling share returns in our view, even following YTD outperformance and at current valuation.”

 “Consumer spend across all segments from low to high spend has remained relatively stable. Our data does not indicate any meaningful behavior change across consumer segments.”

 “Consumer spending is relatively strong.”

 “While raised estimates are generally positive, it’s worth noting that most of this improvement is coming from Energy companies due to increased geopolitical risk.”