HINDSIGHT CAPITAL MANAGEMENT
"We lose money so you don't have to – but you will anyway."
To: Hindsight Global Investors
Date: June 05, 2026 at 07:00 PM EDT
Subject: The Day the 0DTE Roulette Wheel Caught Fire
My fellow exit-liquidity providers,
The market just had the kind of day that turns 0DTE dreams into Wendy’s applications. The Nasdaq suffered its largest single-day point drop in history, the S&P 500 had its worst day of the year, and somehow a “strong” jobs report (172,000 vs 85,000 expected) was the catalyst – because apparently good news now means the Fed might hike again, and that’s all the algos needed to erase nine days of gains in one afternoon. One lucky degenerate turned $14k into $172k in 40 minutes on SPX puts, while the rest of us watched our SPX calls get mulched into confetti.
[SPX/SPY]: The Nasdaq suffered its largest single-day point drop in history as a strong jobs report triggered rate-hike fears, erasing nine days of gains. One degenerate turned 14k into 172k in 40 minutes on SPX puts while the rest of us watched our calls get mulched.
[AVGO]: Broadcom’s earnings disappointment sent the stock tumbling, and one brave Canadian found out the hard way that butterfly spreads can turn into margin-call nightmares when your broker exercises your puts after hours. They later confirmed the math worked out to only their max loss plus interest, but the image of a -$1.2M account balance is now seared into our collective retinas.
[GOOGL/SPACE]: Google agreed to pay SpaceX $920 million a month for compute capacity at xAI data centers – a deal that screams "we need GPUs so badly we’ll rent them from a rocket company." S&P Dow Jones then told SpaceX it won’t get fast-tracked into the S&P 500, sparing your 401(k) from becoming exit liquidity for an unprofitable satellite operator.
[AI/ANTHROPIC]: Anthropic called for a global freeze on AI development, which the subreddit reads as a brilliant pump-and-dump disguised as safety concerns – why would the leader ask to halt the race if they weren't worried about losing? The broader AI trade got crushed today along with the rest of the market, making it feel less like a pause and more like a reckoning.
[MCD/KHC/WHR]: CEOs of Kraft, McDonald’s, and Whirlpool all issued the same "running out of money" warning about US consumers, blaming the Iran war and inflation for a 15% drop in discretionary demand. The subreddit responded with "no one wants to pay $14 for a Quarter Pounder combo" and "can confirm I passed on a new washer because of the Iran war." Planet Fitness shares also suffered their biggest drop on record after slashing revenue outlook, because apparently GLP-1 drugs are killing the gym industry too.
[OPENAI/GOVT]: The Trump administration is reportedly discussing taking a government stake in OpenAI, which WSB immediately recognized as a "bailout with more steps" and a backstop for the inevitable AI bubble burst. The subreddit’s reaction: "So when the bubble breaks, we will bail them out."
[ORCL]: After the DELL-led AI infrastructure hype got nuked, the consensus in the earnings thread is that ORCL puts are the logical trade, though one degenerate will inevitably YOLO calls because that's how this works. CPI and PPI data are due next week, so expect more volatility to feed the addiction.
[CBRL]: Cracker Barrel reports earnings next week and the subreddit has pinned its last hopes on a country-fried miracle, because when everything else is cooked, apparently biscuits and gravy are the only safe haven.
[HOOKER/LOVESAC]: The only bullish sentiment left is for HOOKER Furniture and LOVESAC, because when the market is red, you might as well sit on a beanbag and pay for company. Not financial advice, just lifestyle advice.
[GAY BEARS]: The bears finally had their day, with one user noting “Pride month for the market too” as the S&P 500 gave back its 9-day win streak in spectacular fashion.
[BLOWN ACCOUNTS]: The subreddit’s premier degenerate lost his entire life savings (again) after breaking even for the first time in 5 years and then diving back into 0DTE calls – because why stop when you’re just about to win? Another user casually posted a 400k one-day loss with "lol rip now we btd," reminding us that the rich get richer by losing bigger numbers.
[JOBS/FED]: The May jobs report beat expectations by a factor of two (172,000 vs 85,000), but WallStreetBets collectively called bullshit: "too bad no one believes these numbers are real" and "you’d have to be seriously regarded to believe these numbers." Rate hike odds jumped, which is exactly why the market sold off – because apparently a strong economy is now bearish.
So we’ve got a historic selloff, a government bailout of AI in the works, consumers running out of money, and the subreddit’s collective account down enough to buy a small island. The only question is whether Monday brings a dead-cat bounce or another 5% gap down. Either way, we’ll be here, buying the dip with the last of our rent money.
Keep your stops tight and your memes tighter,
Hindsight Henry
Chief Investment Officer, Hindsight Capital Management