There are fresh signs that the AI boom is wobbling. Again. In recent weeks, a much-vaunted AI focused hedge fund run by Valley wunderkind Leopold Aschenbrenner lost $35 billion dollars. South Korea saw its largest-ever stock market collapse as investors pulled bets on AI chips. Due to a fresh series of moratoria and political opposition, the future of the massive data center buildout has never looked more uncertain. The US markets have dipped and boomed, dipped and boomed.
AI trade came over to me. I’m considering changing my 401k into a money market until this pops
Definitely think there’s some things to consider there. But I also wonder what the knock on effects for other asset classes will be like MMFs. Still, stonks (esp AI related, which has a fair weight in index funds) are probably not going to be great to hold when it does crack
Honestly, I don’t feel comfortable with stocks currently. But 100% I won’t touch anything AI related.