Goldman Sachs: Hedge Funds Sell AI Stocks for Five Consecutive Days, Erasing All Cumulative Net Buying Since 2025

TechFlow reported that on November 1, according to Coin Bureau citing Goldman Sachs prime brokerage data, hedge funds have been net sellers of global AI-related stocks for five consecutive trading days, with the cumulative volume sold having offset all net purchases of AI stocks since the beginning of 2025.

The data indicates that hedge funds offloaded approximately $20 billion in tech stocks over the past two weeks, primarily by trimming existing long positions. The volume of liquidated longs was roughly 3.5 times the size of new AI short positions.

On October 22, the basket of favored holdings tracked by Goldman Sachs for hedge funds dropped 4.2% in a single day, posting its worst performance since 2011. Separately, citing Morgan Stanley data, Steno Research noted that hedge funds' overall equity exposure decreased by approximately 7.8%, marking the steepest decline since the firm began compiling these statistics in 2016.

Meanwhile, memory chip manufacturers including Samsung, SK Hynix, Micron, and SanDisk collectively lost more than $700 billion in market capitalization in under two weeks. Chip stocks saw a cumulative drop of 15.6% in October, while the S&P 500 Index declined by less than 1% over the same period.