Goldman Sachs Chief Suggests Simplifying Positions, Turns Bullish on Gold on July 26

According to Goldman Sachs hedge fund business chief Tony Pasquariello on July 26, U.S. stock trading remains highly difficult amid severe internal divergence and elevated momentum factor volatility. He recommended investors simplify portfolios and concentrate risk on high-conviction positions. Individual stock implied volatility continues diverging from the S&P 500 benchmark, indicating elevated single-stock option demand and dispersion trading.

Pasquariello turned bullish on gold, citing central bank purchases resuming and support holding near $4,000 as speculative longs have been cleared since early 2026. Rising U.S. interest rates and dollar strength may create near-term pressure, but present opportunities for structural long positions. Brent crude has surged 33% this month amid broader Middle East tensions.