More than half of investors believe AI is in a bubble, saying it is the biggest tail risk facing global markets. “The AI bubble looks real” (New York Times), “What could burst the AI bubble?” (RTÉ), “The AI valuation bubble is now getting silly” (Guardian) – alarming headlines are everywhere right now. More than half of investors in Bank of America’s latest fund manager survey believe AI is in a bubble, saying it is the biggest tail risk facing global markets. Stocks are “fairly highly valued”, says Federal Reserve chairman Jerome Powell, echoing Alan Greenspan’s famous warning about “irrational exuberance” during the dotcom bubble. [ The Irish Times view on the AI bubble: Ireland at risk if its burstsOpens in new window ]There are always good reasons to be cautious, says Bespoke, but getting out at the top is a fantasy.
