Premium"Glass Totally And Completely Empty": McElligott Warns AI Trade Is Now "Toxic Pick Your Poison" As 5-Sigma Stop-Outs Rip Across Wall Street
Six 5-sigma moves in one day.
That's how many long/short pairs on Nomura's monitor moved by more than five standard deviations on Thursday, when Meta's capex wall turned a midweek AI relief rally into what was, by one Goldman measure, the ugliest hedge fund day since the US lost its AAA rating in 2011. Now, a day later, Nomura's cross-asset guru Charlie McElligott says the bleeding has paused. Whether it has stopped is a very different question.