"Hedge When You Can, Not When You Have To" - Nomura Reflects On What 'Everybody' Is Thinking As 'Trump Collar' Unwinds

From the big picture perspective, Nomura cross-asset strategist Charlie McElligott notes that it’s just been a pure play of what's been a sentiment swing “from left-Tail to Tight-Tail” for a few months now, really highlighting the market's (over) fixation on hard left-Tail outcome-potentials around the Tariff tantrum, and totally under-pricing Right-Tail possibilities, especially off the back of mechanical reallocation flows as we correctly anticipated the rVol collapse.