Motivated by the widespread experimental observations of nematicity in
strongly underdoped cuprate superconductors, we investigate the possibility of
enhanced nematic fluctuations in the vicinity of a Mott insulator that displays
N\'eel-type antiferromagnetic order. By performing a strong-coupling expansion
of an effective model that contains both Cu-d and O-p orbitals on the
square lattice, we demonstrate that quadrupolar fluctuations in the
p-orbitals inevitably generate a biquadratic coupling between the spins of
the d-orbitals. The key point revealed by our classical Monte Carlo
simulations and large-N calculations is that the biquadratic term favors
local stripe-like magnetic fluctuations, which result in an enhanced nematic
susceptibility that onsets at a temperature scale determined by the effective
Heisenberg exchange J. We discuss the impact of this type of nematic order on
the magnetic spectrum and outline possible implications on our understanding of
nematicity in the cuprates.Comment: 11 pages, 4 figures; includes Supplemental Material (14 pages, 4
figures