Big fears and uncertainty remain despite global stocks being up nearly 20 per cent through to late November – with Europe leading the way and the US recently closing the gap. Here are several key concerns investors keep fretting over – and answers to shed light on what others miss.
Two years ago, you said artificial intelligence was not in a bubble. Do you feel differently today?
No. AI stocks have indeed soared. But most are huge companies whose profits have leapt in parallel. They use free cash flow to expand, not through new debt or stock issuance. That is very unlike the infamous 2000 bubble, when myriad profitless tech companies kept spending their way to bankruptcy.
People rarely recognise real bubbles in real time.
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