April 8, 2021

The stock market has been on one of the most historic recoveries in market history, but hedge funds are holding off on their buying. New data shows that hedge funds have some of the lowest levels of their positions in cyclical markets (energy, finance, tech) in the last decade, but instead are heavy on resilient industries such as healthcare and consumer staples. Hedge funds might be suspicious of how normal the economy will look as vaccines roll out, or that the benefits of the stimulus packages will be short-lived.

(New York)


FINSUM + Magnifi: Hedge funds holding their chips could be a tell-tale sign of slippage or it could be an opportunity for buyers. Cyclical stocks particularly with good value have lower trade volume and are more likely to be mispriced.

Other news today: Video Game Stock gets Buy Recommendations Across Wall Street and Ecommerce Will Benefit from This Change to Consumer Spending

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