Goldman Sachs: Investor Risk Appetite Rises to High Levels, Market Sentiment Remains Optimistic

Odaily News According to analysts from Goldman Sachs Research, despite escalating geopolitical risks, investor risk appetite has increased from December last year to January this year. The bank's research indicates that investors are increasing borrowing to support trades, with leverage in margin accounts rising sharply since last April and currently reaching its highest level since 2021. The research also shows that retail investors are increasingly choosing assets outside the "Magnificent Seven" U.S. stocks, expanding their investment exposure to different regions. Investors are also increasingly adding short bets on the VIX fear index, with the ratio of short positions to long positions hitting a decade-high, suggesting a widespread market expectation for decreased volatility. (Jin10)