Goldman Sachs said hedge funds bought stocks at deep discounts on American stock exchanges on Monday, the most in five months, Reuters reports.
Data available to the bank show that risk management funds at the beginning of the week mainly bought shares of technology companies, whose sector index fell by 3.8 percent at the close.
Vincent Lin of the board of Goldman Sachs pointed out in a note to the bank's clients that almost all technology subsectors were bought on Monday, mainly shares of semiconductors, semiconductor industry equipment suppliers and software companies.
Investment bank Goldman Sachs notes that despite aggressive buying, hedge or risk management funds continue to undervalue the information technology sector, maintaining their lowest position in more than a decade.
