The U.S. economy has slowed over the last few months, though its equity markets haven’t noticed. Despite nearly every broad market valuation metric currently above its long-term average–some uncomfortably so–equity markets continue to forge ahead.

For six months straight, we’ve watched the metaphorical kid in the candy store stuff his face; whether he merely gets a stomach ache or outright pukes, we do not know.

Such hastily achieved returns from already-pricy levels do not assure impending doom, rather, future returns are being compressed into the present. Equity markets will likely return mid-single digits at best over the next decade. That is more than can be said of fixed income securities.

The S&P 500 rose 3.8% during the month of March and 10.6% in the first quarter. Black Cypress returned 4.1% and 11.1%, respectively, for the month and quarter.

Housing remains a bright spot and the Federal Reserve is committed to providing ample liquidity for the foreseeable future. For now, that appears to be enough for market participants.

We can’t help but feel anxious when markets, stock and bond alike, make new all-time highs despite economic data turning decidedly soft. But feelings do not drive our actions. Data-driven processes do.

We remain invested in world-class companies that offer higher long-term returns and lower downside risk than broad equity markets.