Goldman Sachs Projects $40B in Equity Sales Next Week After S&P 500 Breach

Goldman Sachs estimates trend-following hedge funds may sell approximately $39 billion in global equities over the coming week after the S&P 500 fell below 6,725 on Wednesday, according to a client note. The bank's calculations indicate trend-tracking funds, which held roughly $150 billion in long positions before the selloff, view this threshold as a signal to liquidate positions or add short bets. Goldman projects potential sales could reach $65 billion if stock prices continue falling. The S&P 500 last breached such critical technical levels in October and on April 2 following the announcement of tariff proposals by U.S. President Trump, Jin10 reports.