The momentum of systematic selling of U.S. stocks may be weakening, and the market is brewing a wave of rebound

Odaily News The Kobeissi Letter posted on X platform, indicating that the momentum of systematic selling of U.S. stocks may be weakening. Algorithm-driven funds, Commodity Trading Advisors (CTAs), have sold $85 billion worth of U.S. stocks over the past 30 trading days. This marks the largest 30-day selling volume since the pandemic in 2020, when CTAs sold $105 billion. In comparison, the adjustment from March to April 2025 resulted in sales of $80 billion. Currently, CTAs hold $37 billion in short positions on U.S. stocks, the third-highest level since 2019. Meanwhile, Goldman Sachs estimates that, regardless of market conditions, CTAs will engage in buying within the next month, suggesting the market is brewing a rebound.