Rathbones says too early to call market peak in AI investment cycle
QQQ•Rathbones said it is too early to call a peak in the technology cycle, while warning that data center overbuilding or a shortage of construction financing could threaten markets as AI-related capital spending expands.
1. AI investment risks
Rathbones said it is too early to call a market peak in the technology cycle. It warned that data center overbuilding or a shortage of construction financing could threaten markets as AI-related capital spending expands. The firm said Federal Reserve support during crises has encouraged excessive risk-taking, while restraining speculative projects could support a slower, more sustainable investment cycle.
