"Biggest Shorting Since March 2020": Goldman's Top Weekly Trader Report Finds Market Sentiment Turns Dire

Earlier this month, Goldman's Prime Brokerage, arguably the most actionable client-facing division at the bank which keeps daily tabs on all the latest hedge fund activity and is aware which way the market flows before anyone else, introduced the inaugural edition of the US Equities Weekly Rundown: a weekly must-read compilation that consolidates the latest positioning and flows intelligence, market themes, and actionable ideas from various trading desks and risk takers across the Goldman franchise. It is a must-read piece for everyone and we excerpt from the latest full report for the benefit of premium readers (the full note is available to pro subscribers).

Below are the latest highlights across the bank's key segments:

US stocks saw broad-based declines this week with the S&P 500 finishing down -2.9%, as bond yields touched fresh highs in reaction to the revised dot plot for next year that implies fewer rate cuts than the FOMC had previously indicated. Bond Proxies, Quality Growth, and Low Beta names outperformed, while Non Profitable Tech, Most Short, and High Retail Sentiment stocks were among the worst performers.