Market Rally Masks Underlying Risks as Momentum Stocks Falter  This week began with a surface-level calm in the stock market, with equities showing small advances. However, deeper trends beneath the calm exterior signaled some significant undercurrents forming. These currents suggest that certain aggressive investment strategies, particularly ...

US Stock Futures Drop as Treasury Yields Surge Toward Key Level  US stock futures are slipping ahead of the market opening, continuing the decline seen after the recent government debt auction. This movement in the equity market is happening alongside a noticeable increase in US Treasury yields this morning. The uptick in yields follows the Se...

Goldman Sachs Strategist Warns of Market Risks After Rally  Peter Oppenheimer from Goldman Sachs has shared his latest analysis following the recent rally in the financial markets. In this new perspective, he reflects on economic conditions, market behavior, and potential investment directions. Goldman Sachs has updated its expectations for ec...

JP Morgan Sees S&P 500 Path to 6000 Amid Retail and Buyback Surge  Goldman Sachs traders have been watching the markets closely, fully aware of the challenges the market has already overcome to reach its current levels. Despite recovering from prior declines, there's a growing sense of caution among them. They acknowledge that while recent...

Markets Calm Ahead of CPI Despite S&P500 Surge and Tariff Risks Yesterday, financial markets returned to a familiar rhythm as yet another Consumer Price Index release loomed. Normally, such a day would spark waves of tension across Wall Street, with investors hanging on every decimal point that could influence the direction of monetary policy. ...

Goldman Sachs Forecasts Major Options Expiration Impact on Markets  Goldman Sachs projects that a significant volume of options, amounting to over four point seven trillion dollars in notional exposure, is set to expire tomorrow. This includes approximately two point eight trillion dollars tied to SPX options and another six hundred forty-five...

Goldman Sachs 2025 Outlook: US Growth, Tariff Risks, and Market Trends  It may have been overshadowed by the current anticipation surrounding Trump's policy announcements—which are expected to reshape the economic landscape—but Goldman Sachs recently released its comprehensive 2025 year-ahead reports. These include in-depth analyses of markets...

Goldman Sachs Traders Assess Election Market Strategies and Volatility  With the upcoming election, the Goldman Sachs trading desk has observed that clients are beginning to position themselves for various potential outcomes, particularly leveraging the optionality that arises from the binary nature of the election result. Recently, it has bec...

S&P 500 Nears Record Highs Amid Bullish Outlook, Key Risks Ahead  The S&P 500 is nearing its all-time high, even with declining yields, increasing concerns about economic growth, and a Federal Reserve that is starting to acknowledge significant challenges ahead. Goldman Sachs' Scott Rubner is closely monitoring this potential high, exp...

Goldman Sachs' Tony Pasquariello Discusses Market Challenges and Outlook  Goldman Sachs' head of hedge fund coverage, Tony Pasquariello, has been actively engaged with key market participants during a challenging period, as the S&P experienced its worst short-cycle performance since April. Pasquariello observed that price movements in curr...

Hedge Funds Slash Tech Stocks, Diversify Amid AI Bubble Fears  Three weeks ago, as stocks continued to surge, we questioned if the "Party Is Almost Over" when hedge funds began offloading record amounts of tech stocks to retail investors. This marked the start of significant liquidations, which we closely monitored. Recently, we reported that ...

Goldman Sachs Suggests Fed Rate Cut in July Amid Rising Confidence  After Powell predictably avoided giving any clues about the timing of the Federal Reserve's next move, he did note that the last three inflation reports had "added to confidence." Speculation is now focused on when, not if, action will be taken. Goldman Sachs chief economist J...

Hedge Funds Aggressively Sell Tech Stocks Amid Record Highs  Last week, tech stocks reaching new record highs daily, Goldman's prime brokerage noted significant net selling of tech stocks by hedge funds over the past month, particularly in the Semiconductor and Semiconductor Equipment sectors, with Nvidia reversing its year-to-date trend. June...

Goldman Releases Key Reports on Hedge Fund and Mutual Fund Trends  Today, Goldman released two of its highly anticipated periodic reports: the Hedge Fund Trend Monitor and Mutual Fundamentals. These reports provide a comprehensive overview of the quarterly activities and fund flows of hedge funds and mutual funds, respectively. Both reports ar...

Goldman Sachs Report Warns of Equity Struggles Amid Rising Interest Rates  In contrast to his recent optimistic tone, the latest Weekly Kickstart report from Goldman Sachs' David Kostin contains a hint of caution. Kostin acknowledges that many clients are questioning his positive outlook for stocks, particularly if the market adjusts its expec...

Goldman Sachs Analyzes Stock Vulnerability to Rising Yields  Two weeks ago, Tony Paquariello, a trader at Goldman Sachs and head of hedge fund sales, attempted to tackle a critical question in today's financial markets: when will rising interest rates start to negatively impact stocks, considering the significant increase in stock market valua...

Goldman Report: S&P Futures Surge Near Record Levels  As reported by the Goldman Sales and Trading Strategies desk, the total value of open positions in S&P futures approached a near-record high of approximately $700 billion before last Friday's expiration.  However, it dropped to $530 billion on the following Monday after the sig...

Goldman Sachs Sparks Debate: Is the Fed's Inflation Target Outdated Amidst Economic Realities?  Two years prior, we forecasted that the Federal Reserve would eventually acknowledge its incapacity to fully address the final stages of inflation, rendering the longstanding 2% inflation target impracticable. Last year, we observed that inflation h...

 The recent market surge, often deemed improbable by many experts, has been primarily fueled by significant buying activity. Trend-following algorithms (CTAs) have been on an historic buying spree, with Goldman Sachs noting a purchase of nearly $70 billion in US equities within ten days – the largest such buying spree recorded by Goldman. Addi...

Goldman Sachs had experienced a challenging phase when its bullish stance on a commodity supercycle failed in 2023, resulting in Jeffrey Currie, the bank's top commodity strategist, unexpectedly resigning in August. Despite this setback, Goldman remained fervent about commodities. In their 2024 outlook, the bank's commodity strategists doubled down...