Goldman says US stock rally is over

Goldman Sachs Group warned that the factors that caused the rally last month were rapidly disappearing and that there could be a pullback in stocks. In a note shared with clients, Goldman Sachs Director Scott Rubner stated that the factors that triggered the rally in the S&P 500 index, which had its second-best November in 40 years, have lost their effect for now due to the outflow of funds and the positioning of systemic investors. The rally in stocks was largely triggered by the expectation of a change in the Fed's policy steps in November. The markets are pricing in a 70 percent rate cut in the first quarter of next year. Rubner stated that this expectation has caused interest in stocks by market players who evaluate the momentum in assets and take short or long positions in futures markets. Rubner stated that the $225 billion purchase last month was the fastest purchase he has witnessed and that this cycle could be downward, and that these market players could sell $210 billion. In a note this week, Rubner said that among investors turning to stocks, there are funds that invest in risky assets that are affected by market ups and downs, and that these funds have increased their positions by 95 percent in the last five years.