Not A Warsh Wobble; Goldman Partner Says The Real Driver Of Market Volatility Is AI Rebalancing

Equity market volatility this week - from Korea’s limit-down sessions and Mag7 weakness to diverging AI supply-chain fortunes - reflects an internal rebalancing within the still-intact AI investment boom, driven by cyclical memory dynamics, extreme hedge-fund crowding/rotation into Asia, and a shifting perception of winners versus losers, rather than by new macro developments around the Fed leadership change or geopolitics.

1) Memory