A recent research piece by Goldman highlighted that the market might be too cautiously positioned
A recent research piece by Goldman highlighted that the market might be too cautiously positioned. Two examples: 1/ On the left: Nasdaq-100 futures shorts have risen 35% since mid-June. 2/ On the right: This quarter’s hedge fund de-grossing episode was particularly sharp. Per GS Prime Brokerage data, US Fundamental L/S gross/net leverage now stand at 207% / 49.8%, in the 20th / 6th percentiles vs. the past year. Source: GS
Junk bond spreads just dropped to 2.6%.
Investors are getting paid almost nothing extra to hold the riskiest corporate debt in America. That is near the tightest level of the entire cycle. Credit always cracks before equities. So far so good. Source: Kurt S. Altrichter, CRPS®
There is a record $8.29 trillion in money market funds right now.
Source: Koyfin
Market Expectations for Fed Funds Rate
The market is now pricing in a 60% chance of a Fed hike at the September 16 meeting, with the odds going up to 71% by the October meeting and 86% by year-end. Source: Charlie Bilello
Robinhood is having a monster day.
$HOOD surged 13% as Robinhood Chain smashed its previous records, generating approximately $4 million in onchain revenue on September 2—more than any other blockchain that day. So, what exactly is Robinhood Chain? It is an Ethereum Layer 2 network built on Arbitrum and designed for tokenized finance. Its ambition is to bring stocks, ETFs, private assets and other real-world assets onchain—enabling 24/7 trading, self-custody, lending and integration with decentralized finance. The $4 million does not translate directly into $4 million of revenue for Robinhood’s financial statements. But the explosion in activity offers an early glimpse of the platform’s potential—and of Robinhood’s evolution from online broker to financial infrastructure provider. The timing could hardly be better. Morgan Stanley just upgraded $HOOD to Overweight with a $150 price target, while Scotiabank initiated coverage with a Sector Outperform rating. Robinhood is no longer just trying to democratize trading. It wants to rebuild the market infrastructure underneath it. Source: Bull Theory, TradingView
Global Investors now own close to $40 Trillion of U.S. Assets, the most in history
Source: Barchart
Reminder to stop overthinking what stocks to buy
Source: Nancy Pelosi Stock Tracker
Breaking: Blackstone just restricted withdrawals from its $77 billion private credit fund for the second consecutive quarter
They have only returned 50% of investors request Companies capping withdrawals: • Blackstone • Blue Owl Capital • Apollo Management • Ares Management • BlackRock • Starwood Capital Source: Michael Burry Stock Tracker
