Hedge funds have significantly reduced their exposure to global technology stocks, marking the second-largest sell-off in five years, according to Goldman Sachs data. This week's selling activity was primarily concentrated in U.S. tech stocks, which accounted for 75% of the total net selling. The decline in consumer sentiment is also notable, with the Consumer Confidence Index dropping to 57 points in March, the lowest level since 2022. This drop aligns with historical lows seen during the Financial Crisis and the 1980s recession. Furthermore, 37% of Americans now expect stock prices to fall over the next 12 months, representing the highest level of bearish sentiment in a year. The S&P 500 shorts have reached their largest levels since February 2016, while NASDAQ-100 shorts are at their highest since January 2023, indicating a growing trend among institutional investors to adopt defensive strategies amid market uncertainty. The Nasdaq 100 has declined 14% from its peak, raising concerns about the overall market sentiment as it approaches levels recorded during previous financial downturns.