The Real Eisman Playbook Cracks Beneath the AI Boom: Is the U.S. Economy Heading For a Downturn? | The Weekly Wrap
112 snips
Nov 9, 2025 Explore the week’s market volatility and what it means for the economy. Dive into the implications of the new NYC mayor’s election and his plans. Get insights on AI earnings versus non-AI companies, referencing strong performers and those struggling. Discover how FICO’s pricing changes could impact credit scoring. Finally, understand the mechanics of money creation through fractional reserve banking and witness the tension in the housing and restaurant markets revealing consumer strain.
AI Snips
Chapters
Transcript
Episode notes
Top-Heavy Market And The K-Shape
- The market is top-heavy: a few large AI-driven names are driving index gains while most companies lag.
- This K-shaped market raises recession vulnerability if a big correction hits concentrated winners.
Index Outperformance Driven By Mega Caps
- The S&P 500's outperformance is driven by its largest names, while the equal-weighted S&P (SPW) lags significantly.
- A ~1,000 basis point gap reveals the disparity between mega-cap winners and the rest of the market.
New York's Mayoral Shift
- Zohran Mamdani won the New York mayoralty and plans policies like rent freezes, marking a political shift to watch.
- Steve Eisman notes Wall Street firms are already considering relocation to places like Dallas.