Bank of America’s Moynihan Says AI’s Economic Benefit Is ‘Kicking In More’

Group 1: Economic Outlook - Bank of America predicts a strong US economy for next year, with expected growth of 2.4%, an increase from about 2% in 2025 [1] - The labor market is showing signs of normalization, despite starting to soften [1] Group 2: Impact of Artificial Intelligence - Artificial intelligence is increasingly impacting the US economy, with significant contributions expected in the coming years [1] - AI companies, including OpenAI, have attracted billions in funding, indicating strong investor interest in the industry [2] - Executives like Jeff Bezos have cautioned that AI spending may represent an "industrial bubble," but ultimately believe it will benefit society [2] Group 3: Risk Assessment - Bank of America sees limited risk to the economy from an overheated AI industry, as it consists of a narrow group of companies [3] - The bank evaluates leverage on AI projects to ensure comfort with the associated risks [3] Group 4: AI Utilization by Bank of America - Bank of America has been utilizing AI through its agent bot, Erica, which has expanded its capabilities from answering 200 to 700 questions since its launch in 2018 [4] - The bank plans to apply more automated and augmented intelligence across its businesses to enhance effectiveness [4]