According to Odaily Planet Daily, Goldman Sachs' institutional brokerage business said that as the stock market rally cooled, hedge funds' short positions in ETFs across various asset classes listed in the United States increased by the largest amount in nearly four years last month.
Vincent Lin, co-head of Goldman Sachs Prime Insights & Analytics, said short flows in U.S.-listed ETFs increased 14.6% in December, the biggest monthly increase since February 2021.
Macro products such as indexes and exchange-traded funds saw net buying in the first half of the month, but selling activity increased toward the end of the year. The most shorted market areas included large- and small-cap stocks, health care and corporate bond ETFs.