The David Lin Report · Wednesday, August 12, 2026
Thomas Hayes believes the current market rally is a 'dead cat bounce' and that institutions are likely to sell into it, potentially harming retail investors who are buying the dip. Hayes himself is selling, anticipating a rotation out of leadership stocks.
“I would be a seller of this move, it's a dead cat bounce.”
“And that's why you see these waterfalls like you saw in 2000, like you saw in 2022 where retail keeps buying the dip based on recency bias, everything went up, you know, 1999 everything went up. And these these waterfalls tend to persist for more than just a few weeks.”
“Now, he's saying that this, uh, huge rally is a dead cat bounce and that institutions are likely going to sell into this rally and dump on retail investors, which is why he's also selling as well.”