Barclays Warns AI-Driven Selling Momentum Is Intensifying

Odaily News Barclays Bank stated that the artificial intelligence-driven market sell-off may persist, as investors are adopting a "sell first, think later" approach. Analyst Emmanuel Cau pointed out that the overall market remains resilient, but concerns about the disruptive impact of AI are exacerbating sectoral divergence. Traditional labels such as cyclical stocks and defensive stocks are no longer as relevant; nowadays, stocks are categorized based on perceptions of their "AI immunity" or "susceptibility to AI." Commodities, industrials, healthcare, and consumer goods sectors are considered relatively less affected by AI. Media, software, financial services, logistics, commercial real estate, and some technology sectors are perceived as higher risk. Despite strong earnings momentum in these industries, selling is becoming increasingly indiscriminate. Barclays warned that stress is spreading to credit markets and putting pressure on the banking sector. In the short term, this trend may be difficult to curb, but long-term opportunities are emerging. (Jin10)