Hedge boxes with the most severe margin calls since 2020 hit the Coffeted Crisis

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The hedge funds were obtained with the largest margin call since Covid closed huge parts of the global economy in 2020, after the Donald Trump tariff caused a strong defeat in the global financial markets.

I asked Wall Street banks Hedge box Customers to collect more money as a security for their loans because the value of their property has fallen, according to three people who are aware of this issue. Several large banks have released the largest margin calls to their customers since the beginning of the epidemic in early 2020.

Margin calls confirm the severe turmoil in the global markets on Thursday and Friday Trump’s tariff The advertisement was followed by revenge duties by China, and other countries expanded their own responses. The S& P 500 participation index has been set in Wall Street to publish its worst week since 2020, while corporate bonds and danger to companies have been greatly sold.

“The rates, stocks and oil have decreased dramatically … The breadth of movements in all areas (which caused the size of margin calls) was,” said one of the main mediation executives, adding that he reminded us of the sharp and broad market movements in the first months of the Dean’s epidemic.

“We are proactively communicating with customers to understand (risks) through their total books,” said a major executive of mediation at a second senior American bank.

According to two people familiar with this issue, Wall Street Prime’s mediation – which gives money to hedge funds – came to the office early on Friday and all held meetings on the deck to prepare for a large amount of marginal calls to customers.

On Thursday, the worst day of performance for the United States’ long/short stock boxes has been headquartered since it started tracking data in 2016, as the average fund decreased by 2.6 percent, according to a new weekly report issued by the main mediation department in Morgan Stanley.

The report said that the size of the hedge fund, which is selling all over the shares on Thursday, was in line with the largest number of situations, as they threw stock sites at a level in line with the American regional bank crisis in 2023 and the Covid sale in 2020.

Selling was concentrated in sectors including MegacAP technology, groups exposed to artificial intelligence through software, semi -conductors, upscale consumers, and investment banks.

The Morgan Stanley report said that the sale prompted us to a net long/short net crane, which is a measure of borrowing used to enlarge bets, up to its lowest level for 18 months at about 42 percent.

The pain so far was greater if many hedge funds were not in their stock positions and reduced their influence with banks in recent weeks in response to Trump’s trade war.

In another sign of the turmoil through the hedge sector, gold – a traditional safe haven for investors – decreased by 2.9 percent on Friday, despite the deep depression among global investors.

SUKI COOPER, a precious metal analyst at Standard Charted, indicates that the precious metal was used to “meet margin calls”.

Additional reports by Kate Duguid in New York



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