More #bubblewatch weekend notes:

Remember Thursday's short downturn in AI stocks the day after Nvidia released their self-fluffed earnings report? It was caused by AI trading systems flagging accounting fraud.

> The Algorithm That Detected a $610 Billion Fraud: How Machine Intelligence Exposed the AI Industry’s Circular Financing Scheme. https://substack.com/inbox/post/179453867

And the recovery afterwards? That is apparently human beings deciding the AI systems were full of shit.

Get your head around that…

Monday 11-24 #bubblewatch

The market climb at the end of Friday is continuing. Apparently on the expectation the Fed will cut rates in December.

> Wall Street surges on tech rally, rate cut optimism. https://www.reuters.com/world/europe/wall-street-futures-mixed-investors-mull-fed-rate-cut-focus-data-2025-11-24/

This is a general upturn, but tech stocks are doing quite well. And yet a rate cut doesn't change fundamentals of the bubble, so this seems like the old saw: "The market can stay irrational longer than you can stay solvent."

#economy

Tuesday 11-25 #bubblewatch

This is the first time since I started this thread on 11-4 where a rise in the market on one day was followed by another rise on the second. Apparently this is everyone betting on Federal Reserve rate cuts.

> Wall Street advances as Federal Reserve rate cut bets gather momentum. https://www.reuters.com/business/us-futures-ease-with-investors-focus-data-alphabet-shines-2025-11-25/

Is this the end of the 'roller coaster' we've been seeing? Or just going for a longer drop?

Note again: a rate cut doesn't change bubble fundamentals.

#economy

Related:

Socialism by another name: Betting public money on the stock market.

> $10 Billion and Counting. https://www.nytimes.com/2025/11/25/us/politics/trump-intel-steel-minerals-china.html

Outside of Intel, which seems to be the old 'too big to fail' play, so far these are all materials and industrial companies with good fundamentals. But watch out for the Administration adding AI stocks to the mix!

Wednesday 11-26 #bubblewatch

Yesterday's climb in the market continues. The bubble blows up a bit bigger. And yet who knows what's going to happen after four days straight of no trades?

We'll find out on Monday.

> Wall Street extends gains as Fed rate-cut bets for December grow. https://www.reuters.com/business/wall-street-futures-edge-higher-december-rate-cut-expectations-data-awaited-2025-11-26/

#economy