Sometimes, they just never learn. With energy stocks - like for example, Exxon which just hit a new all time high despite record short interest - soaring in recent days while the tech/AI/momentum armada stalled and in some cases retreated, we were confident that this the relentless shorting of all things energy would finally cease, and maybe even reverse.
Despite last week's meltup, hedge funds still piled into energy shorts. pic.twitter.com/ZTZGFjWTs3
— zerohedge (@zerohedge) April 8, 2024
Boy, were we wrong: as Goldman's Prime Brokerage writes, even as oil has continued soaring and in the case of Brent, is now trading above $90, hedge funds are shorting energy names like never before, hoping - or rather praying - that the reversal comes before their margin calls hit a breaking point.
