Victor Dergunov warns that the S&P 500 may experience a near-term pullback and longer-term correction due to an unsustainable AI-driven earnings bubble fueled by hyperscaler spending. Additional risks include rising U.S. debt, hawkish Federal Reserve policies, and geopolitical tensions in the Strait of Hormuz, which could impact market liquidity and global growth. Dergunov maintains a cautious outlook with a wide year-end S&P 500 target range of 7,200 to 7,700 and anticipates a potential market meltdown within 2 to 5 years as the AI bubble unwinds.
Bill C-22 in Canada faces criticism from tech leaders and experts like Yanik Guillemette, who warn it threatens the digital economy by undermining data privacy and encryption. Major companies including Meta, Apple, and Signal express concerns that th...
Meta Platforms is developing an AI-powered digital twin of CEO Mark Zuckerberg to assist with internal communication and decision-making. This digital proxy aims to streamline operations, reduce bureaucracy, and enhance agility within the large compa...
The AI sector faces mixed views with some experts warning of a bubble similar to the dot-com era, while others believe the AI revolution is still in its early stages. Major tech companies are significantly increasing their capital expenditures on AI,...
The rapid expansion of AI infrastructure is hitting a critical bottleneck: power availability and grid capacity. Utilities may take 18 to 24 months just to confirm power capacity for new AI data centers, delaying projects significantly. Industry lead...
The S&P 500 companies excluding the top seven tech giants—Nvidia, Microsoft, Alphabet, Amazon, Meta, Apple, and Tesla—have experienced their fastest earnings growth in about five years. While these 'Magnificent Seven' firms led with a 63.2% earnings-...
