Remarkable turnaround in AI sentiment. Initially everything AI was good, then AI software became risky, now sector-by-sector dismantling. Latest is logistics, also wealth management. Costs can come down dramatically as AI tools do jobs better/cheaper, dismantling workforce. Tremendous change in investor sentiment separating winners/losers. Past couple days turned into people wanting to get rid of risk and move to sidelines. Flip side: strong bid returned for Treasury market.

Treasury market at forefront. Very good week for Treasuries off soft data and very strong 30-year auction - big demand for long-dated securities even with US dollar slightly weak. If unusually high CPI print, Treasury market would take a jolt. If really soft CPI number suggesting Fed could cut three times rather than two, more extension for Treasury trade, probably negative for equity market. We reached tipping point where bad news is just bad news for equities. If CPI suggests interest rates still too high, won't be taken well by equities but bonds will love it and dollar won't. Another pretty bad day for US dollar if turns out that way.