<div></div><hr/><div><div><img src="/images/icons/print-icon.svg" alt="print-icon" original-src="/images/icons/print-icon.svg"/></div></div><div><div><img src="/images/icons/premium-content.svg" alt="premium-content" original-src="/images/icons/premium-content.svg"/><span class="PremiumBadge_hideOnMobile__4mcBV">Premium</span></div></div><h1>Sentiment Snapshot: Hedge Fund Shorting Surges As Retail Refuses To Buy The Dip</h1><div><img alt="Tyler Durden's Photo" src="https://imageproxy.pbkrs.com/https://zh-prod-1cc738ca-7d3b-4a72-b792-20bd8d8fa069.storage.googleapis.com/s3fs-public/styles/thumbnail/public/pictures/picture-5.jpg?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="200" height="200" original-src="https://imageproxy.pbkrs.com/https://zh-prod-1cc738ca-7d3b-4a72-b792-20bd8d8fa069.storage.googleapis.com/s3fs-public/styles/thumbnail/public/pictures/picture-5.jpg"/><div>by Tyler Durden</div></div><div>Monday, Sep 11, 2023 - 10:40 PM</div><div><div></div><div><p>Heading into this week, which saw the S&amp;P close up 0.7% on Monday near session highs with some of the most-shorted names such as CVNA up as much as double digits before fading modestly, sentiment was mixed at best, with Goldman reporting that on Friday its <em>long only </em>clients finished the week 9% better for sale, while HFs finished 1.7% better to buy, and as moves higher in mega cap tech felt like supply exhaustion (i.e., sellers running out of stock to sell) versus real demand.</p><p>Commenting on the recent move, Goldman's prime brokerage said that it continues to see HFs (re) short pockets of lower quality (specifically non-profitable tech) and media names, with the pick up in selling reflected in last week's Prime Brokerage stats, <strong>where the notional value of stock shorted over the week was the largest in nearly 6 months with short sales outpacing long buys (1.7 to 1), </strong>and ranks in the 93rd percentile vs. the past five years. Furthermore, as shown in the chart below, GS Prime notes that &#34;<strong>hedge funds have been shorting US stocks at a rapid pace in recent weeks&#34; something which culminated in the cumulative short flow in US equities which is now at its highest level YTD</strong>.</p></div><span class="NodeContent_footerStat__1nFUq ViewCount_container__wLSq9"><i></i><span></span></span><div>Loading...</div></div>

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