The issue is not simply that investors are borrowing more, but that leverage is interacting with high valuations and market concentration, in particular the increasing cross-investment between artificial intelligence (AI) companies and hyper scalers, in a way that could amplify a future market correction.
Warning about AI's impact on global markets.
Share
More from Andrew Bailey
Inflation has fallen faster than expected but the conflict in the Middle East continues to mean high and volatile energy prices. That will cause inflation to rise again this year.
Energy prices have come down quite a lot, but they're still above where they were before this conflict started. Inflation is higher than we expected it to be.
the term 'lawfare,' while apt, fails to adequately convey the moral depravity underpinning this strategic attack.
I think holding is the right position to be in at the moment for that, so I think it's a sensible decision in the light of the news.
Other voices in this conversation
