The Goldman Sachs note shows that hedge funds bought global equities at their fastest rate since November 2024. Stock markets achieved their most positive performance in decades during the month of May while hedge funds made their largest global equity purchases since November 2024.
The S&P 500 achieved a 6% increase in May which became its largest monthly gain since November 2023 and its best performance during May since 1990. The Nasdaq achieved a 9.6% monthly increase which became its highest since November 2023 and its best May performance since 1997.
Hedge funds demonstrated strong interest in technology companies by establishing their biggest net long position in the sector during the past five years. The investments concentrated on artificial intelligence-related companies which included semiconductor manufacturers together with technology hardware producers.
Hedge funds demonstrated their highest European stock buying activity during the third consecutive week while also making their fastest purchases in three months. The most purchased companies came from Spain, France, Finland, Germany, Sweden and Denmark but Ireland, the Netherlands and Switzerland experienced net selling.
