Hedge funds are using Fed's big rate move to buy US tech stocks says Goldman Sachs

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Hedge funds are using Fed's big rate move to buy US tech stocks says Goldman Sachs

Investing.com -- Hedge funds accelerated their purchases of U.S. tech and media stocks at the fastest rate in four months last week, as per a prime brokerage note from Goldman Sachs, Reuters reported on Monday.

The Fed's recent rate cut, its first in four years, contributed to a rise in U.S. stock markets, with theclosing 1.15% higher on Friday, as recession concerns diminished and investors weighed the benefits of a more relaxed monetary policy. Hedge funds exited short positions and increased long bets in interactive media and entertainment companies, signaling positive expectations for the sector.

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