It’s the last trading day of the second quarter, and what a run it’s been, even if things have been a bit quiet of late.

The S&P 500
SPX,
-1.59%

has climbed 8% in the second quarter, extending its five-quarter advance to an incredible 66%. For all the worries about megacap tech stocks in the face of rising bond yields, the Nasdaq Composite
COMP,
-1.06%

has surged 10% to take its five-quarter run to 89%. “I think the drivers are pretty well known at this point. It’s the recovery story,” says Joseph Little, chief global strategist at HSBC Asset Management, pointing to the global economic recovery, rollout of vaccines and both the fiscal and monetary policy support.

Little, however, doesn’t expect the party to last much longer. “I do think there’s an important transition taking place in the macro economy and in markets,” he says,…

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