During the current week, our consistently bearish outlook has not proven successful. After a robust debate, we decided to maintain our recent short positions even during the market rally of the past few days. We think that this is mostly a short-covering rally, and do not trust the recent positive macroeconomic headlines to last. That being said, we are actively looking to add to our short positions should this current rally continue.
We are looking to diversify into other asset classes, but we are picking and choosing the appropriate trades to make. As of now, no other asset classes have truly presented attractive opportunities, and we have chosen to remain under-diversified for the moment.