Asian markets were mixed Thursday as investors tried to assess the outlook for the global AI-fuelled rally, Federal Reserve interest rates and the ongoing US government shutdown.
News that Israel and Hamas had agreed to the first phase of a Gaza ceasefire provided some relief from geopolitical concerns — and weighed on oil prices — while gold retreated the day after hitting an all-tine high above $4,000.
Technology firms have been riding to ever-higher levels this year — dragging equity markets with them as companies pump hundreds of billions of dollars into all things linked to AI.
But there is a growing concern that the returns might not match the investment sums, leading to warnings that valuations may have gone too far.
“AI is clearly a bubble,” warned Neil Wilson at Saxo markets.