Source: Marcus on AI
The AI market rotation of November 2026 shows investors shifting demand away from unquestioned infrastructure spending. Hyperscaler stocks rose while specialized chip and cloud companies fell, rewarding proof of unit economics over blind capacity expansion. This is a repricing of risk, where the market punishes the venture-scale mentality that treated massive data center buildouts as inevitable rather than justified by returns. AI's infrastructure costs and the political resistance they generate are forcing real operational discipline on the industry.