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Ai is Reaching the Dead on Arrival Minsky Moment

Junk bond rating close at hand for Oracle. To paper this over, the credit agencies may be a day late and dollar short on the downgrade. If it came would force every single passive index fund to puke the paper all at once (see yesterday’s post on passive index funds).

Junk bond market in general has already melted down. Turn out the lights.

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Regardless market is starting to say Project Jupiter won’t happen stranding $1 trillion Openai deliverables. There will be no Openai IPO at least at levels that they need.

The AI boom is an Epstein class fever dream. A lot of money is being fleeced in the process.

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Ponzi finance: Leaked Anthropic IPO prospectus shows $42BN Net Loss, $518BN in unfunded spending commitments. IPO is DOA.

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Finally the financial media is reporting aspects of the reality. The IRR doesn’t support trillions in borrowing and inflated equity issuance.

 

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