The persistent bearishness towards equities could be fuelling a market rally in stocks, as investors who bet against the market are forced to unwind their positions. Despite the S&P 500’s 17% rally since October, sentiment among money managers remains low, and their cyclical holdings are at their lowest level since October, according to Goldman Sachs. Hedge funds are sticking to their guns by betting on safe stocks such as technology and shedding their investments in banks and economically sensitive shares. However, even the hint of good news, such as progress towards debt-ceiling talks, has the power to spark a market rally.
Dipan Mehta urges caution and focus on fundamentals as uncertainty persists
So, next 80 days we should focus only on the micros and look at companies on a bottom-up basis and then see if there are
April 16, 2025