Reported 12 months ago
A surge in the U.S. stock market fueled by artificial intelligence (AI) is being likened to the dotcom bubble, with the S&P 500 index hitting fresh records and the Nasdaq Composite index soaring over 70% since the end of 2022. While valuations have increased, tech stocks today are in better financial health than during the dotcom era. Analysts suggest that the current rally is more supported by solid earnings outlooks, but concerns remain about a possible bubble burst similar to the dotcom crash if valuations become stretched further.
Source: YAHOO