Goldman Desk Warns "Market Now Primed For A Pull Back", Recommends 5 Trades

The S&P 500 closed Friday +1.2% at a fresh ATHs of 7,100+, as crude oil tumbled -12% to $83, and 10yr yields were 7bps lower at 4.24% after Iran’s Foreign Minister declared the Strait of Hormuz “completely open” for all commercial vehicles for the remainder of the ceasefire period. Subsequently it turned out that this was false, and entirely contingent on the US blockade of Iranian ships also ending, which as Trump made clear won't happen while the Iranian blockade is in place, and the downbeat start of trading on Sunday night confirms as much.

There is still some hope the "hope" trade will persist: US-Iran talks are expected in Islamabad later this week (originally Axios reported they would take place on Sunday but that too was a pipe dream). As part of the deal, the US was said to be considering a release $20 billion in frozen Iranian funds in return for Tehran giving up its stockpile of enriched uranium. We'll see.