Hartnett: The Best Trade Into 2026 Is Shorting Hyperscaler Bonds

I took about a month for the market to catch up.

In the first week of October, when stocks were still melting up daily without a care in the world, and with zero analysis of just how massively burdensome the rollout of the AI cycle will be (according to JPM it will cost over $5 trillion for the next five years), we reported that "AI Is Now A Debt Bubble Too, Quietly Surpassing All Banks To Become The Largest Sector In The Market", highlighting what we have been saying since the summer, namely that very soon hyperscalers would run out of organic cash flow to fund their massive capex expansion plans and would need to resort to over a trillion dollars in new debt issuance (including $800 billion in private credit).