"New Bond King" Gundlach Warns: AI Chips Becoming a "New Asset Class" Is a Market Top Signal

Nvidia, along with six other major players, launched a $500 billion AI infrastructure financing plan, attempting to package AI chips as long-term investable assets. "New Bond King" Gundlach warned that the rapid depreciation of GPUs and long-term debt present a severe maturity mismatch, comparing its absurdity to "banana ABS." He cautioned that such financial innovation, reliant on questionable credit ratings, is a classic signal of a market top.