Coverage funds get little rally caused by China’s trade agreement

Of Carolina Mandl

New York (Reuters) -Global Hedge Funds obtained limited earnings from a Big Wall Street stock rally triggered by a United States Agreement -on Monday, on Tuesday, a Morgan Stanley note showed on Tuesday.

The coverage funds increased by 0.60% on Monday, with a lower performance than the S&P 500 index, which advanced 3.23% and closed to the highest level since March 26.

Morgan Stanley said that world wallets are less invested in the United States than in the last two years, as coverage funds and other investors moved funds to other regions after the President of the United States, Donald Trump, begins a world trade war that shifted financial markets.

As Trump’s erroneous rate ads created uncertainty, coverage funds have also become lower in recent months and have placed shorter positions or bets that the actions would fall, the bank said.

The coverage funds were the most five -year -old bass player last week and had to cover shorts during the rally, said Morgan Stanley.

The coverage funds obtained little from the increase in technology and the prices of artificial intelligence actions due to its reduced exposure to the sectors, the bank said.

Currently, until May 12, global coverage funds have increased by an average of 2.12%, while the S&P dropped by 0.69%.

(Carolina Mandl report in New York; Richard Chang