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Investors' risk appetite is improving, with the S&P 500 reaching new highs and the VIX index falling below 20. However, volatility may rise due to uncertainties surrounding the Federal Reserve's interest rate policy and ongoing geopolitical tensions in the Middle East, particularly between Israel and Iran. As the US presidential election approaches, market fluctuations are expected, prompting recommendations for investors to manage potential volatility through structured strategies and exposure to gold and oil as hedges.
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