Last week was somewhat of an anomaly in recent market history. The volatility index surged to levels last seen in March 2023 during the US regional banking crisis. This was only the second time in 2024 that the S&P 500 Index dropped by more than 2% in a single week. The last time we went this far into the year with only one 2% weekly decline was in 2017. Long-term investors usually ignore such market trivia, and rightfully so. However, it is worth noting that we have experienced very strong markets with minimal volatility over the past 18 months. And while this might have felt like a smooth ride, it is certainly not the norm for equity markets. In the attached Portfolio Watch, Victor Mupunga, Head of Research at Private Clients, discusses the current market conditions and offers insights on how to navigate this volatile period.