The majority of recent market impact is driven by mechanical flows from passive investment vehicles and leveraged ETFs rather than fundamental valuation changes; when a buy order is sent to a 2x levered ETF, it mechanically buys two times the Nvidia shares regardless of any assessment of whether that purchase makes economic sense.

causalpending

Speaker

Mike Green

Evidence Quote

“I operate off of a model that suggests that the majority of the impact that we're seeing in markets is largely a mechanical function of the way that we've chosen to invest.”

Source

Stock Market Leverage Higher than at Any Time in History | Michael Green— WTFinance
Created: 8/12/2026, 6:11:43 PM

My Notes

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