I’ve been working in AI - and specifically NLP - since 2003. I am no stranger to how weird quirks can sneak into overparametrized models, nor am I a stranger to how good humans can be at inferring meaning where there is none in specific language model behaviors. So, yeah, I am inclined to assume non-teleological causes are more parsimonious than inferring the presence of a strange loop, because that continues to be the winning bet. Even for generative LLMs.
Because, for some high number of contexts, its likelihood comes out high in the big tree of multiplies that is claude's model. For some sets of 500 words (or whatever), the next word is "load". The classifier that decides which sets of 500 (or whatever) words is a prefix for "load" is returning "true" too often.