AI Momentum Unwind & Cybersecurity Trade Emerging
Goldman's AI-correlated momentum basket has erased all 2025 YTD gains, while a Chrome remote code execution vulnerability and rising AI-enabled threats are pushing a narrative shift toward cybersecurity as the next big trade.
What we know
Goldman's High Beta Momentum pair (GSPRHIMO) went from +70% at June highs to flat YTD citing an account on X, specifically driven by the 'AI correlated long leg.' US stocks broadly closed lower as tech found only partial stability after a volatile AI week. Against this backdrop, a Chrome remote code execution vulnerability surfaced (BREAKING, 52 RTs), and another account on X explicitly called cybersec as 'the next trade' after semis and GPUs. The UK government reinforced the theme by committing $800M to AI security. On the existential risk side, another account on X's AI bioweapons warning gained 68 RTs, and another account on X's AI agent swarms for cyber defense was amplified by Noah Smith.
By the Global Eye 24 desk, with AI assistance. Updated as the story develops. Spot an error? Write to corrections@globaleye24.com.