AI momentum crash and forced unwind
AI/momentum stocks suffered a historic mechanical selloff, with MTUM down 8.2% and the VIX at 28.5. Commentators debate a bottom as OpenAI keeps raising capital.
What we know
MTUM fell 8.2%, its largest daily drop since March 2020. An account on X cites McElligott on a $165B purge, and HSBC's Kettner compares it to January 2018. Minervini calls today's rally a possible dead cat bounce as VIX hit 28.5. OpenAI's CFO confirmed fundraising talks at nearly a 50% higher valuation. Trump posted support for superintelligence and data centers.
By the Global Eye 24 desk, with AI assistance. Updated as the story develops. Spot an error? Write to corrections@globaleye24.com.