Among the major changes that 24/7 host Doug McIntyre has noticed since the AI boom is that companies like Meta, Microsoft, Amazon, and Oracle no longer trade based on the fundamentals of their traditional businesses but instead on their performance in artificial intelligence. He explains that, in the past, investors evaluated these companies by their core divisions - such as Amazon's e-commerce and cloud services or Meta's user engagement and ad revenue - but now AI success dictates their market value.
The AI news cycle of the summer captured themes including the challenge of starting a career, the importance of technology in the China/U.S. trade war, and mounting anxiety about the impact of the technology. But in terms of finance and investing, Deutsche Bank sees markets "on edge" and hoping for a soft landing amid bubble fears. In part, it blames tech CEOs for egging on the market with overpromises, leading to inflated hopes and dreams, many spurred on by tech leaders' overpromises.