Goldman Sachs' latest weekly report indicates structural tensions within the market despite the S&P 500 repeatedly hitting new highs. Hedge funds are selling off tech stocks, yet their holdings in the "Mag 7" (seven major tech giants) have reached an all-time high, accounting for 22% of their total U.S. equity exposure. Concurrently, market confidence indicators have fallen to extreme lows, while positioning data across various asset classes continues to break records. The report also reveals that hedge funds are net buying the industrial sector at the fastest pace since the beginning of the year, with semiconductors and tech hardware being the most reduced sub-industries within the tech sector, while software has seen net buying. Goldman Sachs believes that disappointing revenue figures from OpenAI were one of the triggers for this rotation, noting that earnings season faces the dilemma of high expectations and a lack of reward for exceeding them, with market sentiment for bank stocks, in particular, turning noticeably cautious.