Locally, it's fair to be constructive equities for a trade after this pullback, says Nomura's Charlie McElligott, particularly, coming out of the tax day liquidity drain, TGA rebuild, amid a relatively quiet week-ahead from a macro-data perspective (which could help quiet the pain from the rates term-premium rebuild).
Additionally, and perhaps most critically for stocks, the real-time entry into "peak earnings season", where correlation craters on earnings driven "winners & losers" dispersion... which then acts to drags-down realized vol...
