Inverse Zitron: An Investment Strategy

(chalmovsky.com)

13 points | by chalmovsky 11 hours ago ago

17 comments

  • drweevil 10 hours ago

    >"The Soviets also spent seventy years predicting that capitalism would collapse any day now."

    If anything has the chops to prove both Zitron AND the Soviets right, it's AI.

  • sigmar 10 hours ago

    >"All right, well, Ed knows what that means." Does he, Mr. Ludic?

    I've never listened to the Zitron's podcast. But does he present himself as a financial expert? I've heard so many people that seem to think he is a financial wiz and use him to inform investment decisions.

    • flowerthoughts 4 hours ago

      I haven't checked, but he says himself that his background is in marketing. And no, he's not saying he's a financial or technology expert.

      He does say that he talks to lots of people close to the matters, asks questions and gets curious when things don't add up. If that's true, which it seems to be from what I can check him on, I'll continue to listen to him. Though I wouldn't start any on-street protests on his word.

  • holbrad 11 hours ago

    I can't believe more people don't point out his unbelievably bad track record of predictions. For a public figure, this should be incredibly damning.

    • sowhat1 10 hours ago

      Not sure if you're aware, but a lot of really smart people have made a bunch of wrong predictions. Turns out it's pretty hard to predict the future.

      • bdangubic 10 hours ago

        it absolutely is which makes it fascinating when you do absolutely not a thing in your life but make insanely inaacurate predictions for years on end and still have a career where instead of ocassionally be laughed at at parties you are being discussed on HN

  • uriahlight 10 hours ago

    Ed will get his 15 minutes of fame when the market finally corrects. But he'll still be completely wrong. It's hilarious how outdated his views on AI are. He literally doesn't know what people are using it for. He seems to have no clue that 50% of radiology and medical imaging labs in the US now heavily utilize AI. 40% of dental practices in the US are currently utilizing AI. Programming went the complete paradigm shift at least 18 months ago, and this buffoon still thinks it's vibe coding.

    • toomuchtodo 10 hours ago

      Models being capable is orthogonal to trillions of capital being incinerated.

      Nasdaq 100 is down over $2.7T over the last month, so far. Still further to go. There are simply not enough earnings materializing to support the capital that has been invested. Google lost $500B in value over the last week because AI overviews, that don’t generate revenue, were cannibalizing search.

      OpenAI has cut its funding target by $10B due to lack of enthusiasm by investors. Certainly, if you think AI is going to capture trillions of dollars of value, I encourage you to try to catch the falling knife. Radiologists won’t be replaced, dentists won’t be replaced, AI will get baked into their EHR or line of business app as a commodity. There will be efficiency gains, but not a revolution.

      Al Enthusiasm Is Collapsing and Tech Earnings Just Made It Worse - https://www.bloomberg.com/news/articles/2026-10-31/ai-enthus... - October 31st, 2026

      Tech Selloff Burns Al Dip-Buyers as Sector Slides for Third Week - https://www.bloomberg.com/news/articles/2026-10-30/ai-dip-bu... - October 30th, 2026

      Gartner Survey Finds Only 13% of CIOs Say Their Enterprise Has Realized Significant or Transformational Value from AI - https://news.ycombinator.com/item?id=50207881 - October 2026

      Credit swaps and the bond market are more accurately pricing the future imho. Are capital managers smarter than HN? We’re going to find out. “Extraordinary claims require extraordinary evidence.”

      https://news.ycombinator.com/item?id=50303881

      Ed is behind on model capabilities, but he’s correct it’s an irrational bubble, based on the financials and fundamentals, that will eventually end. Your similar comment from three months ago indicates you’re allowing faith and a belief system to conflict with reality: https://news.ycombinator.com/item?id=49031793

      • cunnymcface 9 hours ago

        What do we call that period where there were massive industrial efficiency and productivity gains?

        It was the industrial something, oh wait! Industrial Revolution!

        And a bad day on the stock market isn’t money disappearing from the economy, it’s money moving, it’s not destroyed, it moves. It can move back on Monday, and has repeatedly.

  • EA-3167 11 hours ago

    This seems somewhat mean-spirited and light on the sort of facts that would justify the tone. It’s also bizarre to read this as the markets begin to plummet as investors begin to realize there’s no there there.

    Whatever you feel about the tech, the economics are stupid right now and seemingly entering at least correction territory.

  • sowhat1 11 hours ago

    [dead]