WHAT TO DO NOW: Hold some cash and take things on a stock-by-stock basis. The market is getting whacked today as inflation remains higher than expected, which has interest rates rallying sharply and expectations of Fed rate cuts sliding. That said, the trends of most indexes and stocks are still fine, and with 30% in cash coming into today, we’re not overreacting—but we will sell one-third of our Arista Networks (ANET) position, which is one of many tech names getting whacked after a good-not-great quarterly report, while placing PulteGroup (PHM) on Hold. That will leave us with around 33% in cash, which we’ll hang on to as we see how this pullback plays out.