Steve Eisman Sells Alphabet Stake, Cuts AI Exposure as Nasdaq Logs 2 Weekly Losses
Updated
Updated · CNBC · Jul 27
Steve Eisman Sells Alphabet Stake, Cuts AI Exposure as Nasdaq Logs 2 Weekly Losses
1 articles · Updated · CNBC · Jul 27
Summary
Steve Eisman said he sold his longtime Alphabet stake a few months ago and is now holding substantial cash to reduce exposure to the AI trade.
His warning came as tech momentum cooled: the Nasdaq and S&P 500 posted back-to-back weekly losses of 2.1% and 0.6%, raising fears that an AI disappointment could trigger a broader correction.
Alphabet itself fell nearly 8% last week after lifting its capital-spending forecast, highlighting the heavy investment still required to build AI infrastructure.
Eisman said he is not shorting the market, but argues investors are far less diversified than they think because both stock and bond exposure are increasingly tied to the same AI theme.