Goldman Sachs & Co. LLC
July 1, 2026
US Equities Color: Unwindy
Daily UpdateCommoditiesCryptoDerivativesCommunication ServicesEnergy
US equities saw a sharp correction in momentum factors as investors rotated away from crowded AI names. Market breadth is showing signs of improvement despite broader index declines.
Key Takeaways
- 1.High Beta Momentum factors corrected sharply (~10%) after a strong first half, driven by crowded positioning and seasonal headwinds.
- 2.Market breadth is beginning to improve as rotation occurs from AI-heavy momentum names into laggards like cyclicals and software.
Table of Contents
- US EQUITIES COLOR: UNWINDY
- DERIVS
Document Preview
Access the Full Report
Get unlimited access to institutional research reports with a 14-day free trial.
Authors
Ariana ContessaMike Washington
Securities
SPXNDX
Themes
AI Trade BroadeningMarket BreadthMomentum Unwind
Regions
EuropeUnited States