AI Investment Bubble Warning: Financial Institutions Raise Concerns About Market Correction Risks

Oct 09, 2025 04:43 pm CST

Financial institutions including the Bank of England and IMF are sounding alarms about a potential AI investment bubble, comparing current tech stock valuations to the 2000 dotcom bubble peak. As OpenAI reaches a $500 billion valuation despite not being profitable, experts debate whether AI's economic promise justifies the massive investments or if market expectations have become dangerously inflated, raising risks of a sharp market correction that could impact global economic growth.