Positioning neutral
Goldman 7 observations on the half-full/half-empty:
1. Options positioning indicators are no longer signaling FOMO (fear of missing out) as call vs put volume ratio normalised, skew became more expensive and spot/vol correlation remains well in negative territory
2. Equity futures positions of asset managers, which are more correlated with equity performance, continued to decline last week and are still c. $90 bn below the peak reached in January
3. The AAII bull vs bear survey declined again last week and dislocated further from its relation with S&P 500 1m return.
4. fund flows and CTAs funds showed the first signs of re-risking.
5. The large increase of money market fund inflows stopped in the last 3 weeks
6. Appetite on credit remains very strong with sustained inflows into corporate bond funds.
7. Equity fund flows were positive as well over the last month but turned negative last week
#stocktalk
Goldman 7 observations on the half-full/half-empty:
1. Options positioning indicators are no longer signaling FOMO (fear of missing out) as call vs put volume ratio normalised, skew became more expensive and spot/vol correlation remains well in negative territory
2. Equity futures positions of asset managers, which are more correlated with equity performance, continued to decline last week and are still c. $90 bn below the peak reached in January
3. The AAII bull vs bear survey declined again last week and dislocated further from its relation with S&P 500 1m return.
4. fund flows and CTAs funds showed the first signs of re-risking.
5. The large increase of money market fund inflows stopped in the last 3 weeks
6. Appetite on credit remains very strong with sustained inflows into corporate bond funds.
7. Equity fund flows were positive as well over the last month but turned negative last week
#stocktalk