While artificial intelligence spending is forming a bubble in the market, investors don't need to give up their positions, according to Bridgewater founder Ray Dalio."Don't sell just because there's a bubble," Dalio said Thursday on CNBC's "Squawk Box." "But if you look at the correlations with the next 10 years' returns, when you are in that territory, you get very low returns."Dalio's comments come as AI darling Nvidia surged more than 5% Thursday on the back of better-than-expected earnings and guidance. ...

Tough to argue its an AI bubble when everyones revenues keeps rising massively...the only bubble might be in VC funding, but thats Power Law for you. You have to have enough shots to hit goal and the AI model factors in many zeroes.Nothing to see yet, move on. ...

Worried about a bubble? Innovator capital has 160 ETFs designed to let you ride the bull market with your seat belt securely fastened. https://t.co/FZEgzOYxdg📸: Nate Ryan for Forbes https://t.co/YVlRi0WFWR ...

Is AI a bubble or a generational boom? Yahoo Finance convenes Wedbush Securities managing director and global head of technology research Dan Ives, EMJ Capital founder and president Eric Jackson, and BlackRock (BLK) Americas chief investment and portfolio strategist Gargi Chaudhuri to debate Nvidia (NVDA), Tesla (TSLA), OpenAI (OPAI.PVT), and how AI will reshape jobs, markets, and the next leg of the AI trade. Palantir (PLTR) co-founder and CEO, Alex Karp, sits down with Yahoo Finance anchor Josh Lipton to ...

Market Performance - The market has shown a lack of positive reaction following the government reopening, indicating potential weakness despite being in a longer-term bull market [2][3][4] - The NASDAQ is currently 15% below its recent high, suggesting room for correction [4] AI Sector Insights - There is a belief that the AI sector may be in an early stage of a bubble, with signs of excessive enthusiasm reflected in stock price movements [5][6] - A potential 30% correction in AI stocks is anticipated within the next 18 months, raising questions about investor readiness for such a downturn [8][9] Federal Reserve Outlook - The Federal Reserve's upcoming decisions are seen as data-dependent, with expectations leaning towards a 25 basis point easing in December [22][23] - Concerns about the accuracy of economic data collection methods are highlighted, suggesting the Fed may be operating with limited visibility [21][22] Consumer Sentiment and Economic Disparity - Consumer sentiment is reported to be near all-time lows, despite high stock market performance, indicating a disconnect between asset holders and the broader population [24][25] - The economic landscape is described as K-shaped, where the top 30-40% benefit from rising asset prices while the lower 60% face challenges such as increased grocery costs [26][27]

Core Insights - The integration between private and public markets is a significant trend that warrants close observation [1] - Companies are broadening their relationships and creating structures that may lead to potential IPOs in the long term [2] - The scale of certain companies, referred to as "deca-corns," is substantial, with some having implied valuations over $100 billion [3] Company Dynamics - Partnerships formed by large companies are critical for future growth, and there is a belief that the current market is not in a bubble [4] - OpenAI's implied valuation has more than doubled over the past year, indicating strong growth potential in the ecosystem [5] - The demand elasticity in the market suggests that any efficiency gains will lead to increased demand, driving further innovation [7] Market Trends - There is a noted tension in the market, with investor sentiment fluctuating between optimism and risk aversion, particularly as 2026 approaches [8] - The volatility in the market is expected to persist, and investors should be prepared for this as they consider fundamentals [9] - A holistic approach to investing is recommended, focusing on benchmark indices rather than individual stock picking to navigate through market disruptions [10][11]

Core Viewpoint - There is a noticeable shift in sentiment among analysts and retail investors regarding the market, with an increasing belief that the AI rally has evolved into a bubble [1] Group 1 - Analysts are expressing concerns about the sustainability of the AI rally, indicating a potential shift in market dynamics [1] - Retail investors are also beginning to align with this cautious perspective, suggesting a broader market sentiment change [1]

Market Analysis & Potential Risks - TS Lombard 关注 AI 领域的“泡沫”现象 [1] - 报告警示可能刺破 AI 泡沫的七个信号 [1]

Core Insights - The discussion revolves around the implications of potential market bubbles and the strategies investors should adopt based on their age and investment horizon [4][5][6]. Investment Strategies - Young investors, particularly those around 35, are encouraged to remain invested even during market fluctuations, as they have a longer time horizon to recover from downturns [5][6]. - The importance of diversification increases with age, as older investors have less time to recover from market losses [5]. - Investors should consider building market manias into their investment plans rather than trying to time the market, which is often fraught with mistakes [6][7]. Market Trends - The Vanguard Information Technology ETF (VGT) has shown significant growth, with a $10,000 investment in 2010 growing to nearly $165,000, reflecting a total return of over 1500% [9]. - The top stocks in major indices like the S&P 500 and Nasdaq 100 are predominantly technology companies, indicating heavy tech exposure for most investors [9][10]. - The market capitalization of leading tech companies, referred to as the "Mag 7," is approximately $22 trillion, highlighting their dominance in the market [12]. Technological Growth - There is strong conviction in the potential for technological advancements, particularly in AI, quantum computing, and robotics, which are expected to drive significant profits over the next 10-15 years [7][13]. - Despite concerns about being late in the investment cycle, the ongoing innovation in technology suggests that substantial growth opportunities remain [14][15]. Volatility Considerations - Investors looking to increase their tech exposure should be prepared for higher volatility, as tech stocks can experience significant price swings [15][17]. - The sentiment around investing heavily in tech may feel greedy, but historical trends indicate that such investments can still yield positive returns even after periods of skepticism [15].

Market Sentiment & Tariffs - The market initially reacted positively to a stronger-than-expected ADP report and skepticism surrounding the legality of tariffs, suggesting a hope for their repeal [1] - Investors exhibit a "buy the dip" mentality, potentially overemphasizing positive news regarding tariffs [3][4] - The market generally dislikes uncertainty, and the potential for tariff refunds outweighs the perceived risks [2][3] Bond Market & Treasury - The 10-year Treasury yield moved up by approximately 5-6 basis points due to the jobs report and the possibility of tariff repeal leading to increased bond issuances [5] - Potential tariff refunds for corporations, if mandated by the Supreme Court, would necessitate increased Treasury issuances [6] Earnings Season & Outlook - Earnings trajectory is strong, with convergence between AI-focused companies and other market sectors [10] - Resilient consumers and better-than-expected margins contribute to strong earnings, mitigating worst-case scenario concerns [11] - Dollar strengthening over the past three months has contributed to outsized earnings beats [9] Market Dynamics & Bubble Concerns - Smaller, less prominent companies are experiencing rallies following earnings beats, while previously strong performers face pullbacks [12] - Despite concerns from some analysts, the market may be moving past bubble fears, particularly in the AI space, due to fundamental differences compared to past bubbles [14][15] - There's a degree of froth and expectations have caught up with reality in the AI space, sideways movement is healthy [15]