OpenAI and Nvidia’s fates increasingly appear tied to each other. On one side, we have a private company valued at several hundred billion dollars but running out of cash (“OPENAI: LITTLE CASH, BUT PLENTY OF PROMISES, IN AN EFFORT TO AVOID BANKRUPTCY“), while on the other, we have the most…
Category:Markets
WHY NVIDIA IS NOW PAYING TO SELL ITS OWN GPUs? BECAUSE REAL DEMAND IS FALLING OFF A CLIFF
I started covering Nvidia’s accounting shenanigans a long time ago, but being honest, I could not have expected things to reach the absurd level we are witnessing lately. The first partner in crime of Nvidia to pull off its epic revenue round-tripping scheme that began in the aftermath of the…
OPENAI: LITTLE CASH, BUT PLENTY OF PROMISES, IN AN EFFORT TO AVOID BANKRUPTCY
There is a golden rule that applies to many things, especially in business and finance. That rule is: “If you want to know the truth, follow the money”. Let’s follow OpenAI’s money today, and let’s see where it leads. Here is the official record of OpenAI’s fundraising history so far:…
THE GLOBAL DEBT CRISIS: WHY GOLD KEEPS SHINING WHILE DEBT AND CURRENCIES CRASH
Everyone is now watching long-term government bond yields going through the roof, from Japan to the UK, from France to the US. A few months ago, Wall Street’s analysts’ expectations, along with those of many other “experts” (that I am not sure how they can be defined as such, considering…
BEHIND THE FOG: NVIDIA’S REVENUE RECOGNITION RED FLAGS AND DECLINING CAPACITY AGREEMENTS
3 months ago, in the article “CHEF’S TABLE: NVIDIA,” I already highlighted how Nvidia’s sophistication in cooking its books reached a remarkably high level. At that time, thanks to fresh disclosure in its report, not only did we manage to figure out the whole structure Nvidia, with the support of…
COREWEAVE: A FRAUD HIDING IN PLAIN SIGHT
The first time I talked about CoreWeave was more than one year ago in “IS MAGNETAR CAPITAL BLOWING AIR INTO THE NVIDIA (PONZI) SCHEME SO THEY CAN BET ON ITS IMPLOSION?” when I described how the hedge fund Magnetar Capital’s investment in CoreWeave had many similarities with the strategy they…
WHY, INSTEAD OF FIXING US PROBLEMS, FED RATE CUTS WILL WORSEN THEM
Exactly one year ago, a parade of “experts” was making the rounds on various popular TV networks advocating for a 75 basis point emergency FED rate cut to troubleshoot the crisis in the global JPY carry trade scheme. At that time, traders in the futures market priced a 60% probability…
HOW BIG TECH SPENDING SPREE MORE AND MORE RESEMBLES 2000s TELECOMS EPIC FAIL
This year alone, the total CAPEX on AI infrastructure from Big Tech companies is expected to reach 330 billion $, with Microsoft accounting for more than one-third of it, as per the latest results and projections. Where is all this money going to be spent? To buy chips and build…
HOW LONG WILL THE BOJ BE ABLE TO AVOID THE COLLAPSE OF A MAJOR FINANCIAL INSTITUTION?
It’s summer, and many traders are already enjoying their holidays and stock portfolio gains, which are growing every passing day, regardless of the circumstances. No matter that the underlying economies are falling more and more into a dark hole, a larger number of people are struggling to make ends meet,…
DB EARNINGS REPORT REVEALS HOW THE FED ISN’T THE ONLY REGULATOR HELPING BANKS TO HIDE THEIR LOSSES
Deutsche Bank just reported earnings for its Q2-25 and, of course, everything is awesome! Needless to say, Wall Street expectations have been beaten across the board. As I write, the stock is trading 6% higher on the day. As usual, everyone read the press release, and no one took the…