“Companies at the centre of this year’s #AIBoom were among the biggest fallers on #WallStreet. Chipmaker #Nvidia fell 2 per cent, while #Microsoft and #Amazon fell more than 3 per cent and #Meta dropped 1.5 per cent.
#StockMarkets globally have risen sharply this year, but the rally has stalled as a growing number of investors warn that lofty valuations of leading #USA AI stocks are becoming detached from the #fundamentals.”

“There’s no question, we’re getting to a more #LateCycle stage [of the market rally],” said #JohannaKyrklund, group chief investment officer at #Schroders, pointing to “extended valuations” and a “#frothy, somewhat #bubble environment”.

“We still have #exposure to these #stocks,” Kyrklund said, but added: “I wouldn’t advocate a passive exposure to this [#AI] space at the moment.”

The market is deciding how useful AI really is beyond what the tech #marketing gurus are shouting at you 🌊🗣️

#Nasdaq / #tech / #ArtificialIntelligence / #BoomBust <https://archive.md/ueUbl> / <https://www.ft.com/content/72c35b5a-f75f-493d-ba86-a35d8d1f3490>