Hedge funds are increasingly starting to bet the sparkling run by US big tech firms might be coming to an end, according to Goldman Sachs.
Research by the US bank indicated the fastest rate of sales of tech stocks for eight months in the week ending 23 February.
According to Goldman, overall, this amounted to the highest level of tech share selling by hedge funds in the last five years.
Morgan Stanley (NYSE:MS), another Wall Street bank overnight said its analysis also showed that tech was the most sold sector last week.
Tech shares have driven US markets to new all-time highs after a surge of buying since the start of 2024.
Last week, new sector darling Nvidia added US$277 billion to its value in one day after forecast-smashing results, the highest gain ever by a company in a single session of trading.
Goldman Sachs said now though there are twice as many with short bets open, ie expecting share prices to go down, against tech firms as those with call or buy positions.
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Nvidia, however, was the exception said Goldman Sachs with call or buy options on the chipmaker at a two-year high.
On a wider level, investors were more becoming concerned about the US generally after its stellar rise this year said Goldman with the largest net selling of its stock markets in five weeks as hopes for Fed rate cuts are reined back.