Reported 16 days ago
Optimism about artificial intelligence has propelled U.S. stocks to new heights, fueled by heightened interest since the debut of ChatGPT. However, investors are on the lookout for vulnerabilities within the AI sector, identifying significant risks linked to capital expenditures and potential changes in demand. As major companies ramp up investments in AI infrastructure, their spending habits and returns on these investments will be closely scrutinized, with concerns that overspending or insufficient growth could impact profitability. Signs of declining demand or unmet revenue expectations could pose substantial risks to the ongoing AI-driven market rally.
Source: YAHOO