Clickbait Style Title:
“Markets Cautious Despite Low Volume: Hedge Funds Skeptical of Price Strength, Feds Buckle Up With $58B Auction of 5-Year Treasuries”

Rewritten Article:
The US markets began Wednesday morning with a cautious sentiment, with trading expected to be choppy due to little volume until the end of the year. At the open, the Dow (DJI) had gained 0.2%, the S&P 500 (SP500) was almost stagnant, and the Nasdaq Composite (COMP.IND) went down 0.1%.

Goldman Sachs commented on the new trends in US markets, saying that flows have sharply differed between single stocks and macro products which are being bought, with the net exposure to tech stocks being lower than ever before. Contributing to this were the low L/S ratios across R2K constituents.

Shedding light on the sector level, analysts reported that managers had a heavy net sell of cyclical stocks since November, with the L/S ratios across Energy, Financials, and Industrial companies reaching multi-year lows.

The 10-year Treasury yield (US10Y) dropped by 5 points to 3.84%, while the 2-year Treasury yield (US2Y) was decreased by 9 points to 4.26%.

The slow pace of the markets continues today as the economic calendar only records a $58 billion auction of 5-year Treasuries (US5Y) later this afternoon. Investors will eagerly await the release of results for this federal sale.