Hedge Funds Go Risk-On, Buying Tech Stocks for 12 Straight Days
- Short covering turns to long buying in sign of growing faith
- ‘They’re now chasing,’ says Craig Callahan of Icon Advisers
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Professional speculators are turning risk-on by gobbling up technology shares, after largely missing out on the new-year rally in the stock-market’s biggest winners.
Hedge funds that make both bullish and bearish equity wagers snapped up computer and software makers for 12 straight sessions through Wednesday, according to data compiled by Goldman Sachs Group Inc.’s prime brokerage. While unwinding short sales dominated flows during the first week of February, the group has added to long positions in recent sessions — a sign of growing conviction in the information technology sector.