Is the AI bubble bursting?

A hot market has turned ice cold this week, as the pessimistic doomsayers rear their heads.

In US markets, Palantir—the data analytics and big brother surveillance powerhouse—plunged 16 per cent this week. This was despite delivering a robust quarter of profitability, underscoring the market’s insistence on unrelenting, exponential growth.

Meanwhile, Nvidia, whose market capitalisation now mirrors Canada’s entire stock exchange, declined nearly 9 per cent. wiping off a lazy $450 billion following Michael Burry of Big Short fame disclosure of a sizable bearish positions against both it and Palantir, reigniting scrutiny over AI-driven valuations.

Persistent inflation is also putting a dampener on markets, with the Bank of England and the RBA both putting intere

See Full Page