The Federal Reserve’s decision to slash interest rates by a half point last week set the economy up to avoid a recession, according to Goldman Sachs (GS) chief financial officer Denis Coleman.

LONDON (Reuters) - Hedge funds bought U.S. tech and media stocks at the fastest pace in four months last week, said a Goldman Sachs prime brokerage note to clients seen by Reuters on Monday, spurred by the Federal Reserve's anticipated 50-basis point rate cut.

Goldman Sachs reiterated its optimistic outlook on gold prices on Monday, citing central bank demand and the imminent interest rate cut from the U.S. Federal Reserve at its policy meeting this week.