The note from Goldman Sachs, published on Friday, comes via Reuters. CTAs (commodity trading advisers) are the trend-following hedge funds GS is referring to here:
- could sell between $20 billion and $42 billion in U.S. equities over the next month if the stock market continues to retreat
- S&P 500 below 5,135 points "would flip short-term trend from more positive to negative" among trend-following hedge funds, triggering equity sales
More at that link above.
