A veteran predicts that a sharp reset is coming for AI stocks, saying spending trends have reached stratospheric levels. In a Bloomberg Television interview, Mark Mobius, who grew Templeton’s assets from $100 million to over $50 billion, warns that the massive spending of AI giants is getting out of hand. “If you look at the AI space, it’s a lot of froth. And we expect there to be a big correction in these companies that are emphasizing AI [because they are] spending trillions of dollars in AI improvements and infrastructure. There’s got to be a correction because some of the…
Author: Henry Kanapi
Henry Kanapi
Henry Kanapi is a journalist and editor covering the intersection of artificial intelligence, financial markets, and technology disruption. He has sourced, written, and edited thousands of stories on crypto, banking, and macroeconomics as Senior Editor at The Daily Hodl, where he helped shape coverage for an audience of over two million monthly readers. At CapitalAI Daily, Henry brings a decade of newsroom experience to fast-paced reporting on AI breakthroughs, market shifts, fraud cases, and regulatory battles. His focus is on accuracy, clarity, and exposing how money moves in the age of artificial intelligence. Henry’s work has been cited by leading financial outlets, investment firms, and research communities tracking the future of markets. He is committed to a high editorial standard rooted in transparency and trust.
Billionaire Jeffrey Gundlach says he’s seeing a shocking turn of events as investors are now treating select corporate debt as more secure than US government bonds. In a new discussion with Barclays CEO C.S. Venkatakrishnan, the DoubleLine Capital CEO says credit markets are repeating a dynamic last seen in the early 1980s, when IBM’s bonds briefly yielded less than Treasuries — a sign of higher perceived safety. “The spreads on investment grade corporate bonds are basically at the tightest of all time, other than back in the early 80s… when we had a shocking development that IBM bonds traded through…
A senior Intel executive is heading to OpenAI, underscoring the intensifying race for talent and compute leadership in the push toward artificial general intelligence. In a post on X, Intel CTO Sachin Katti says he is joining OpenAI to focus on designing the compute backbone for future AI systems, after leading Intel’s AI efforts for the past four years. “Excited for the opportunity to work with Greg Brockman, Sam Altman, and the OpenAI team on building out the compute infrastructure for AGI! Very grateful for the tremendous opportunity and experience at Intel over the last four years leading networking, edge…
A new analysis from JPMorgan signals that Wall Street’s AI infrastructure boom may be entering a phase where funding demands push the limits of global credit markets, reviving fears of a setup reminiscent of the early-2000s telecom crash. JPMorgan strategists led by Tarek Hamid say the hyperscaler-driven race to construct AI data centers will require tapping every corner of the capital stack, with investment-grade bond issuance alone expected to total roughly $1.5 trillion over the next five years, reports Bloomberg. The bank estimates total AI data center spending could run at least $5 trillion, with a potential ceiling near $7…
Banks are issuing a fresh warning as criminals deploy AI-generated celebrity endorsements to lure older savers into high-pressure investment scams. The alert comes from FraudSMART, the Banking & Payments Federation Ireland’s fraud initiative, as pop-up ads using fabricated AI celebrity endorsements spread online and across social media platforms. FraudSMART says criminals are aggressively targeting older consumers trying to supplement pensions or add to their savings ahead of retirement. “Scammers are continually finding new and complex ways of luring people into investment scams, often targeting people over 50 who may be looking for an opportunity to top up their finances ahead…
A prominent strategist says the mechanics of one AI stock still resemble an early-stage rerating, comparing the setup to investors doubting Tesla (TSLA) before its breakout. In a new CNBC interview, Fundstrat’s Tom Lee says rapid innovation pace and strong visibility on AI spending point to continued payoff, even as valuation fears linger. Lee says market leadership remains anchored by tangible earnings power, challenging claims that AI heavyweights have entered speculative territory. “Even though they may say AI stocks are expensive, Nvidia still only trades at 29 times forward earnings. I mean, it’s still cheaper than Costco, so it’s hardly…
A former Reddit CEO says most AI startups are racing against a tidal wave they cannot outrun, noting that foundational model providers will swallow the market before challengers scale. In a new post on X, ex-Reddit CEO Yishan Wong says the AI boom is structurally different from past tech cycles, with incumbent model platforms moving too fast and too forcefully for app-layer startups to survive on their own. He warns that founders should not anchor expectations on the classic “startup vs. incumbent” playbooks, noting that hyperscalers are advancing at an unprecedented pace and scope. “My AI investment thesis is that…
Famed short seller Michael Burry sounds the alarm on the financial backbone of the AI buildout, warning that accounting practices across hyperscalers could be inflating earnings in a way that echoes past market excesses. In a new post on X, “Big Short” investor Michael Burry warns hyperscalers are stretching depreciation schedules on fast-cycling compute hardware, boosting earnings in a way he likens to past financial manipulation. According to the contrarian investor, AI giants will understate network/compute depreciation by tens of billions of dollars in the coming years. “Understating depreciation by extending the useful life of assets artificially boosts earnings -one…
A top fund manager says the AI sell-off is creating selective buying opportunities, noting that the demand picture is stronger than market turbulence suggests. In a new CNBC interview, Hightower’s Stephanie Link says the market pullback masks a surge in real spending tied to artificial intelligence, with large-cap leaders already showing profitability and scale. She points to accelerating enterprise demand as the key driver. “Well, I mean, we have had a really good run in the AI, the whole theme. But we’re seeing massive amounts of spending happening because these companies can’t meet the demand. They can’t meet the demand.”…
A global survey of corporate leaders suggests AI has crossed a major threshold inside the enterprise, as adoption of artificial intelligence hits a fever pitch. In The State of AI in 2025 report, McKinsey gathered responses from 1,993 participants across 105 countries and a wide range of industries, roles and company sizes between June 25 and July 29, 2025. McKinsey finds that AI is now present across nearly all industries, but deployment is not yet deeply embedded into core workflows or operating models. “Nearly nine out of ten survey respondents say their organizations are regularly using AI—but the pace of…