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.
Concurrent Gainers: 7 stocks that gained for 5 days in a row
In the five trading sessions prior to March 7, the Sensex rose by around 1.5%, or 1,134 points, closing at 74,333. The market ended on
March 8, 2025