SPX, NDX - Hedge Funds Are Most Short The S&P 500 In Four Years In a report issued Monday, Bank of America Merrill Lynch analysts Jue Xiong and Stephen Suttmeier looked into the hedge fund world. They assure that large speculators are most short the S&P 500 since November of 2011. Hedge Fund Positioning By Major Strategies BofA’s models show that: Market Neutral funds boosted their market exposure from flat to 1 percent net long. Equity Long/Short funds trimmed their market exposure 33 percent net long, below the 35 to 40 percent benchmark. “Disinflation expectation have been near 4-year high for Market Neutral strategy since late August.” Macro hedge funds diminished their short positioning in the S&P 500, NASDAQ 100 and Commodities. Macro hedge... More