Swissquote Analyst Warns AI Narrative Has Become a Core Pillar of US Stocks, and a Crack Could Trigger a Pronounced Pullback

Odaily News: Ipek Ozkardeskaya, senior analyst at Swissquote Bank, said that broad-based indices and pension funds are now deeply tied to the AI wave, with tech stocks accounting for roughly 40% of the S&P 500. She noted that just three chipmakers alone carry a market-cap weight of more than 25% in the MSCI Emerging Markets Index. Ozkardeskaya said AI has become the market's "core pillar," and that this pillar "cannot afford to crack."

In the short term, US stocks will still be supported by seasonal factors, and the current rally could extend through the end of the year. However, she also warned that the worst-case scenario is a shake-up in the AI investment thesis, damaging market confidence in the AI story and triggering a pronounced stock market pullback. (Jinshi)