- The S&P 500 has reached **20 record highs** this year, following **57 last year**, and is trading at a current P/E of roughly **26**, which is well above its five and ten-year averages.  **[884394_RB5d5lMWWsg_0]** 
- The VIX has experienced a **69% decline** over the prior 20 weeks, marking the largest volatility crash on record, though investors should brace for more short-term volatility.  **[884394_RB5d5lMWWsg_0]** 
- The market is closely monitoring the core PCE inflation report, with an estimate of **2.9% year-over-year**; a reading below **3.0%** is expected to lead to a **25 basis point interest rate cut in September**, which the market has already priced in.  **[884394_RB5d5lMWWsg_0]** 
- Despite the Fed's past concerns, **two interest rate cuts** are anticipated this year (one in September and one in December) and **two next year**, with significant cash on the sidelines waiting to invest.  **[884394_RB5d5lMWWsg_0]** 
- Key growth opportunities are identified in **AI infrastructure** and **aerospace and defense**.  **[884394_RB5d5lMWWsg_0]**

SPDR S&P 500 ETF TRUST (SPY)