"A Few Prolific 'Come To Jesus' Moments" Are Coming: Nomura On Hyperscalers' Hell

The "evolution" of the AI zeitgeist  - Hyperscalers as the Funding Shorts = Can’t Hold Up the Broad Market - is why top Nomura strategist, Charlie McElligott thinks stocks are struggling, and NOTHING TO DO WITH any sort of concern about 50bps of hypothetical Fed hikes, or Lord-forbid any sort of “Recession Pricing”.

What follows is his thoughts on this rotation (from hyperscaler CapEx hell into bottleneck 'AI enablers')... and how it plays out (stability breeds instability).