Gold Ten Data January 13th News, Goldman Sachs strategists said that the significant drop in financing spreads this year indicates that institutional investors' positions in stocks are changing as the market reconsiders the Fed's interest rate path. They said that the financing spread (measuring the demand of investors to engage in long positions in stocks through derivatives such as swaps, options, and futures) has dropped from about 130 basis points at the end of December last year to around 70 basis points. The team led by derivatives research director John Marshall said in a report to clients, “In our experience, significant short-term fluctuations in funds almost always mean that the demand trend of professional investors has changed. We believe that in the past few weeks, pension funds, asset management companies, risk hedging funds, and CTAs have all been net sellers.” In a report earlier this month, Marshall had already pointed out the problem of financing spreads, calling it “an important warning signal for stock investors”.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
Goldman Sachs: Finansman makasının daralması, hisse senedi dumping'inin aktif olduğunu gösteriyor
Gold Ten Data January 13th News, Goldman Sachs strategists said that the significant drop in financing spreads this year indicates that institutional investors' positions in stocks are changing as the market reconsiders the Fed's interest rate path. They said that the financing spread (measuring the demand of investors to engage in long positions in stocks through derivatives such as swaps, options, and futures) has dropped from about 130 basis points at the end of December last year to around 70 basis points. The team led by derivatives research director John Marshall said in a report to clients, “In our experience, significant short-term fluctuations in funds almost always mean that the demand trend of professional investors has changed. We believe that in the past few weeks, pension funds, asset management companies, risk hedging funds, and CTAs have all been net sellers.” In a report earlier this month, Marshall had already pointed out the problem of financing spreads, calling it “an important warning signal for stock investors”.