Hedge funds have reportedly made substantial bets against the US stock market, raising concerns for 401(k) plans and the broader economy. According to a report by the Telegraph, citing data from Goldman Sachs, there has been a notable increase in short positions in US stocks, with hedge funds pouring billions into these bets. This trend comes amid fears of an economic downturn potentially linked to the policies of President Donald Trump, particularly in light of ongoing trade tensions and tariffs. The data indicates that hedge funds have sold US equities for five consecutive weeks, with significant sell-offs across nine of the eleven S&P 500 sectors, leaving only healthcare and real estate with net inflows. The situation has alarmed pension plans and small investors, prompting warnings about the potential risks involved.