Weekend Prep

Goldman Sachs reviews market positioning following Memorial Day weekend, noting that the AI trade remains intact as geopolitical risks fade and implied correlations hit all-time lows.

Key Takeaways

• 1.The AI trade is expected to continue with momentum as geopolitical tail risks from the Iran conflict begin to subside.
• 2.Index implied correlation levels have reached historic lows, suggesting opportunities for dispersion or bespoke volatility structures.
• 3.Hedge fund positioning shows a significant return to technology, with gross and net exposures in the sector reaching 5-year highs.

Table of Contents

• some thoughts ::
• pb (i)
• pb (ii)
• cash
• futures
• derivs (i)
• derivs (ii)
• derivs (iii)
• baskets

Document Preview

Page 1 of 5

Subscribe for full accessStart Free Trial