Everyone Piling Into Semis: What The Latest Hedge Fund And Mutual Fund Positioning Tells Us About The Market
Hedge funds and mutual funds have continued their recent portfolio rotations away from Software and toward Semis.
Premium
Zerohedge Debates
Latest: How F***ed Are Markets?
Login
or
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
ZeroHedge Reads
- Alt-Market
- AntiWar.com
- Bitcoin Magazine
- Bombthrower
- BULLIONSTAR
- Capitalist Exploits
- Christophe Barraud
- Dollar Collapse
- Dr. Housing Bubble
- Financial Revolutionist
- ForexLive
- Forum Geopolitica
- Gains Pains & Capital
- Gefira
- GMG Research
- Gold Core
- Implode-Explode
- Insider Paper
- Libertarian Institute
- Liberty Blitzkrieg
- Max Keiser
- Mises Institute
- Mish Talk
- Monetary Metals
- Newsquawk
- Of Two Minds
- Oil Price
- Open The Books
- Peter Schiff
- Portfolio Armor
- QTR’s Fringe Finance
- Safehaven
- Slope of Hope
- SpotGamma
- TF Metals Report
- The Automatic Earth
- The Burning Platform
- The Economic Populist
- Themis Trading
- Thoughtful Money
- Value Walk
- Visual Combat Banzai7
- Wolf Street
Expand
PremiumIran Vows 'Swift, Decisive' Revenge After Overnight US Port Attack, As Sides Seek Deal Allowing Each To 'Sell Their Narrative'
...while Rubio signals optimism on peace deal in 'days'.
Lavrov Warns Rubio: Get Diplomats & Americans Out Of Kiev Ahead Of 'Systematic Strikes'
Escalation against "command centers"...
NYC Mayor Mamdani's Housing Plan Sparks Property-Rights Alarm Over Forced Transfers To Nonprofits
"This is all going to be a theft scheme."
Elon Musk Welcomes American Airlines To The Starlink Family
About time.
Macro Fear Has Collapsed But Goldman Flows Guru Warns Positioning Risk Has Not
...the bigger risk may not be "the market down" – but rather the market finally rewarding something else...
PremiumCan Spencer Pratt Win?
All the normal people have gone... Californian Democrats can't, and won't, fix themselves...
As 70's-Style Inflation Fears Mount, Goldman Tells Us Who's Got The Cheapest Groceries
Whole Foods remained the most expensive retailer...
PremiumSemis Officially In Full Panic-Buying Mode
SOX monthly RSI highest since dot-com bubble.
PremiumPrivate Equity To Be Blocked From Buying Homes?
It's almost impossible to believe...
Mediocre 2Y Auction Prices At Highest Yield Since Feb 2025
Overall, this was a forgettable auction with mediocre stats and internals.
Hedges Thinning... Crowd Of Equity Bulls Needs Constant Good News
Yet options positioning needs a reset...
PremiumStrait Talk
Hoped-for progress in the Strait notwithstanding, geopolitical risk is here to stay and it isn’t necessarily all ‘in the price’...
"Warning Signs Flashing Red": Ebola Outbreak Spreading Faster Than Response, Aid Group Says
The World Health Organization’s director-general also said the epidemic "is outpacing us"...
Why Oil Markets Could Face A Generational Shock This Summer If US-Iran Talks Fail
"The bottom line is that the supply shortfall will build in the coming months as temporary buffers are depleted..."
The Fed Should Be Concerned: Job Market Vibes Vs Data
There seems to be, at first blush, an inconsistency between the “vibe” on jobs and the published data...
AI Rally Triggers Best Run In Global Momentum Stocks On Record
“It’s risky - we are seeing bubbles forming in a number of areas, and the AI-led basket clearly has ignored all macro development...”
PremiumNANO Nuclear Soars As It Turns Revenue-Generating With Strategic Acquisition
The company now has tangible progress on multiple nuclear business segments.
Thomas Massie Files To Run In 2028 After Losing Primary
The congressman said he is not sure which office he will vie for...
AI Startup Says It Will Pay People $2,000 A Month to Masturbate... Yes, Really
Joi AI is hiring 10 “masturbation consultants” to test its AI-guided features...
The Most Hated Trade On The Screen May Be About To Rip Again
We turned bullish on Software a few weeks ago, and that bounce has already delivered. But with IGV now threatening a breakout above the key $94/$95 area and positioning still extremely bearish, the squeeze may only be getting started. Here is a 5-chart recap on how gloomy sentiment remains in software.
Sold The Downtick
Asset managers aggressively sold the latest downtick in equities and semis just as rates volatility started spiking again. The problem? The AI melt-up machine simply refused to care, with semis quickly squeezing back toward fresh highs as the semis chase becomes impossible to ignore.
AI Melt-Up Bubble? Maybe. Earnings Explosion? Definitely
With equities already trading at record highs, the instinctive reaction is that much of the good news must already be priced in. But a closer look at earnings revisions, dividends, M&A activity and liquidity trends suggests the backdrop is not just bullish — it is unusually bullish. The flip-side is that expectations are now extremely elevated, meaning even small disappointments could matter more than usual.
The Melt-Up Machine
Tech keeps trading like a self-reinforcing melt-up machine, with every small dip getting mechanically bought as flows keep chasing AI and semis. Upside call skew across large-cap tech is now reaching meme-mania style extremes, increasingly echoing 1997 and parts of 2003.
Can’t Spell China Without AI
China’s AI melt-up keeps accelerating as ChiNext squeezes higher post the latest consolidation, while mainland semis and AI hardware names keep ripping. The remarkable part is that positioning and speculation still look far from true 2015-style euphoria, even as the world’s most inverted upside call skew signals investors are still aggressively chasing upside convexity in China AI hardware.
Assistance and Requests: Contact Us
Tips: tips@zerohedge.com
General: info@zerohedge.com
Legal: legal@zerohedge.com
Advertising: Contact Us
Abuse/Complaints: abuse@zerohedge.com
Make sure to read our "How To [Read/Tip Off] Zero Hedge Without Attracting The Interest Of [Human Resources/The Treasury/Black Helicopters]" Guide
It would be very wise of you to study our privacy policyand our (non)policy on conflicts / full disclosure.Here's our Cookie Policy.
