Goldman Sachs: Semiconductor Stocks' 20% Pullback Creates Buying Opportunity as Leverage Unwinds

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According to Goldman Sachs strategist Shawn Tuteja, semiconductor and momentum stocks have pulled back nearly 20% due to technical and market structure factors, presenting a tactical opportunity to establish positions. Tuteja noted that as overall market leverage declines and institutional positioning becomes more balanced, investors can consider "exploratory" long positions in chip stocks. U.S. leveraged semiconductor ETFs have shrunk to $104 billion as of July 8 from a mid-June peak of $157 billion, with daily short Gamma exposure falling from $2.8 billion to $1.9 billion. The deleveraging reflects market efficiency gains rather than fundamental damage to AI investment logic, Tuteja said.
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