Citigroup Flags Rates-Driven "Volatility Event" Risk Even as It Holds Constructive on Equities

Citigroup's U.S. equity strategy head Scott Chronert warned on January 26, 2026, that rising interest rates could trigger a "volatility event" — a rapid, non-linear repricing of risk across markets. Chronert flagged the tail risk as non-trivial and directional, not idiosyncratic. He simultaneously maintained that equities should be fine at current levels.