PremiumThese Are Goldman's Favorite US Trades Into Year-End
Top Goldman trader Faris Mourad breaks down the desk's favorite US trades through year-end:
New technology: buy secular non-profitable tech vs short non-secular non-profitable tech.
Policy related: buy industries with US strategic national interests and short US companies with high percent of China sales.
Low rates beneficiaries: buy companies with high floating rate debt, or for a higher quality version buy housing.
Economic growth related: buy depressed cyclicals composed of bonus depreciation beneficiaries, regional banks, small business exposed, and analog semis.
AI: we continue to like buying companies that benefit from the AI infrastructure build-out phase.
How to hedge post momentum unwind: exclude Mag7 from benchmark hedges and take advantage of the X7 or SPXX enhanced indices.