Sunday 12 October 2025
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wn.com - 4 hours ago

Is there an AI bubble? Financial institutions sound a warning

Lingering doubts about the economic promise of artificial intelligence technology are starting to get the attention of financial institutions that recently raised warning flags about an AI investment bubble. Officials at the Bank of England flagged the growing risk that tech stock prices pumped up by the AI boom could burst. “The risk of a sharp market correction has increased,” the U.K. central bank said. The head of the International Monetary Fund raised a similar alarm hours after the Bank of England’s report. Global stock prices have been surging, fired up by “optimism about the productivity-enhancing potential of AI,” IMF Managing Director Kristalina Georgieva said. But financial...


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