Global stock markets fell amid concerns that a boom in the valuation of artificial intelligence (AI) companies could soon cool.
Markets in the US, Asia and Europe fell after Bank Banes warned of a severe correction in the stock market with some companies showing that there are too many companies.
In the US, the tech-focused Nasdaq and the S&P 500 on Tuesday suffered their biggest percentage drops in a month.
Technology shares dragged the Nasdaq lower, resulting in a close of 2%. Meanwhile, there were one-day falls for all of the “magnificent seven” AI-related stocks, including the chipmaker Nvidia, Amazon, Apple, Microsoft, Tesla, Alphabet (the owner of Google) and Meta (the owner of Facebook, Instagram and WhatsApp).
The S&P also closed up more than 1% while losing ground due to tech stocks, especially data analytics company Plantantra, which is about to arrive in my view today.
Palanir also targets a famous short seller – who picks the value of a company.
The investor Michael Burry – who rose to prominence after the financial crash and encouragement of the film Palanraker and the Biggest AI companies, two of the biggest companies from Pananir’s bossism
In a Talk to CNBCAlex Karp, Panansir’s Chief Executive, criticized Burry and other short-shellers for “trying to call the AI revolution”.
Asian markets followed on Wednesday, recording the sharpest slide in seven months, and concerns over Japan and South Korea fell on the previous day. In Europe, markets in the UK, France and Germany fell slightly on Wednesday morning.
The markets came as the chief executives of Morgan Stanley and Goldman Sachs warned there was a market correction ahead.
They added their voices to Jamie Dimon, the head of the largest bank in the US, JP Morgan Case, who warned in October he was worried about the markets that will crash in the next six years.
Jim Reid, an analyst at Deutsche Bank, said there is a “growing chorus talk about whether we can have a precision equity correction”.
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Reid added: “The last 24 hours have brought a clear movement of risk, as concerns the high-profile tech exchanges.”
Some analysts have raised questions about the investment in Ai companies, stressing that the majority of investment in AI programs is committed to a small group of AI companies, especially Openi and Nvidia, while there is a very small return on investment.
The price of Bitcoin briefly dipped below $100,000 (£76,764) for the first time since June, as investors abandoned investors such as risky assets such as risky assets such as risky assets such as risky assets such as risky assets such as risky assets such as risky assets such as risky assets such as assets such as risky assets such as investors such as the risks of economic perspectives.
Bitcoin touched a record price of more than $126,000 in October but continued to fall 3.7% in the month, resulting in the main monthly losses of the last decade in the last decade, according to figures from CoinmarketCap.