The biggest deleveraging event in more than 10 years

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Macro analyst Andreas Steno Larsen called the recent market move the biggest deleveraging event in more than 10 years on Thursday as global hedge funds cut gross exposure in seven of the past eight sessions. Goldman Sachs prime brokerage data shows managers dumping technology and AI stocks at the fastest pace in at least a decade with some reversing two years of net purchases in five days. Selling shifted from adding shorts to outright liquidation of long positions centered on semiconductors and the AI complex. Funds suffered their worst daily losses since the Covid period as concerns over massive AI spending and cash burn intensified.

https://alpha-maven.com/story/hedge-fund/when-the-hedge-becomes-the-headache-wall-streets-great-deleveraging-the-dark-side-of-the-boom

https://hedgeweek.com/news/hedge-funds-suffer-worst-daily-losses-since-covid-as-tech-rout-deepens

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