Hedge funds have upped both their bullish and bearish positions by the fastest rate seen in five years, buying up single stocks and ETFs as the S&P 500 slumped by almost 5% last week, according to a report by Bloomberg.
The report cites the latest prime broking data from Goldman Sachs as revealing that when considering both long and short exposures, the total gross trading flow chalked up its largest notional increase since 2017 last week, rising for the fifth straight week in a row.
Hedge funds tracked by Morgan Stanley meanwhile, raised bearish bets but refrained from cutting their long positions , wile fund clients at JPMorgan Chase & Co provide to be net buyers.
JPMorgan data also shows that hedge-fund sentiment is turning more constructive, thanks to more robust recent fund performance.
