Data centers and oil services are moving in lockstep—when one rolls over, the other follows. That's why I flipped bearish on energy, gold, and miners yesterday. They're all tied to the same underlying trade: the data center buildout. When $DTCR weakens, $OIH weakens. Simple as that.
If you're long energy or materials because of AI infrastructure demand, you're really just long the data center thesis in disguise. And right now, that trade looks vulnerable. Expect selling pressure across the board.
If you're long energy or materials because of AI infrastructure demand, you're really just long the data center thesis in disguise. And right now, that trade looks vulnerable. Expect selling pressure across the board.
