There's a Bubble Forming in the Stock Market, but It's Not in Artificial Intelligence (AI). History Says This Happens Next.

Group 1 - The S&P 500 has experienced a significant rally, increasing by 73% since the beginning of 2023, driven by AI-related growth from major companies like Nvidia, Meta, and Microsoft [1] - The S&P 500 is currently at a high price-to-earnings ratio of 28, with the CAPE ratio also indicating high valuations, suggesting a potential bubble [2] - Leading AI stocks, while not cheap, are growing at double-digit rates, with Nvidia projected to have a revenue growth of 56% in its next quarterly report [3] Group 2 - A bubble appears to be forming in zero-revenue emerging technology stocks, reminiscent of past market bubbles such as the dot-com era [5] - The pandemic era saw a similar trend with SPACs and emerging technology stocks, many of which faced significant declines or bankruptcies [6] - Emerging sectors, like modular nuclear reactor company Oklo, have shown extreme price increases despite having no revenue, with Oklo's market cap reaching nearly $17 billion [8]