Sure, AI makes a convenient cover for business executives who were already looking to downsize or outsource their labor force, but the tech's myriad hallucination issues, legal risks, and security baggage make it ill-suited to automate human jobs. That's to say nothing of the fact that 95 percent of businesses gunning for an AI overhaul see their efforts end in failure.
"When bubbles happen, smart people get overexcited about a kernel of truth," Altman recently told reporters, per The Verge. Altman said this describes the state of play. "Are we in a phase where investors as a whole are overexcited about AI? My opinion is yes. Is AI the most important thing to happen in a very long time? My opinion is also yes," he said.
Shares in lenders exposed to the UK car finance scandal surged at the start of trading in London, with Close Brothers jumping 27% following a favorable Supreme Court ruling.
The DAX rose on Wednesday, led by a strong performance in the auto sector after a trade agreement between the United States and Japan lifted investor sentiment.
The market remains fragmented. Gains in energy minerals and consumer non-durables were offset by declines in distribution services, non-energy minerals, and utilities.
The stock market couldn't care less. This tells us that the investment community's level of understanding on the AI trade has greatly improved in just five short months.
U.S. equity markets ended the week in negative territory, with widespread losses across major indexes, led by the Dow Jones and S&P 500's declines.
The Nasdaq Composite surged 7.15% and led major indexes due to a 90-day suspension of tariffs between the U.S. and China, boosting investor sentiment.
"You can't put the whole gaming industry into a Netflix-style safety bucket, but you can view Take-Two that way, since there's no real impact from tariffs and its pipeline is so robust that the upside from new content should outweigh any negative we see in a downside scenario," said Alec Boccanfuso, portfolio manager at Gabelli Funds, who said the stock is one of his top holdings.
The deal, which slashes US tariffs on Chinese goods from 145% to 30% and Chinese tariffs on US goods from 125% to 10%, has boosted investor sentiment.
Big Tech has singlehandedly managed to pop the tariff balloon, with bullish capex plans and unrelenting demand for AI solutions, resulting in quarterly profits that have surpassed expectations.
Despite the sharp downturn due to trade concerns, the US stock market made a strong recovery driven by tech stock performance and easing trade tensions.
SoFi Technologies Inc.'s shares have seen significant movement in anticipation of an upcoming earnings report, reflecting the market's high expectations amidst ongoing economic concerns.
