Global equity markets brace for potential sell-off, Goldman Sachs data suggests

Published 03/06/2025, 12:38
© Reuters

Investing.com -- Global equity markets may face a potential sell-off this week, according to data from Goldman Sachs.

The data indicates that commodity trading advisers (CTAs), who bought $103 billion worth of stocks last month, are predicted to be sellers in the coming week, regardless of the scenario. This trend applies globally and particularly in the U.S., as stated by Goldman’s Cullen Morgan in a note to clients.

Morgan also anticipates these CTAs to offload stocks if the market remains unchanged or experiences a downturn over the next month. However, should a rally occur, it could trigger approximately $5.3 billion worth of buying within the same period.

Over the past two weeks, trend-following investors have not been as active in purchasing, following their significant contribution to the stock rebound from the lows of April. With trade and economic risks still posing a threat, these conditions could make the market more susceptible to potential declines in the near future.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.