Larry McDonald warns that the “Magnificent Seven” are under pressure as soaring AI capital expenditures and rising energy costs compress margins. He argues that higher costs from Micron (MU) and Washington’s debt-driven inflation strategy are accelerating a rotation out of paper assets and into hard commodities like gold and silver. McDonald also flags growing stress in private credit, comparing today’s illiquidity and “mark‑to‑myth” valuations at firms like Apollo (APO) and Ares (ARES) to the early cracks seen ahead of the 2008 financial crisis.