After becoming net sellers of US stocks in August, hedge funds remain hesitant about buying as September trading kicks off, Reuters reports.
The month has often been a downbeat one for markets. History looks set to repeat itself, even with a potential US interest-rate cut on the horizon.
Seasonal red flags, market fragility, a China buying spree, and a potential vicious circle of selling lie behind hedge funds’ reluctance to join the recent rally, Wall Street sources say.
Reuters reports: