Howard Marks says the AI boom is drifting into bubble territory, but he notes the greater danger may be staying all-out as the market rewrites financial norms at unprecedented speed. In a new memo issued to Oaktree Capital Management clients, the billionaire highlights warnings from investor Paul Kedrosky about credit dynamics inside the AI infrastructure buildout. According to Kedrosky, the AI boom has entered speculative finance territory with leverage, vendor financing, and CapEx growth that exceeds revenue momentum across hyperscalers chasing dominance. “For AI infrastructure, the warning signs are flashing: vendor financing proliferates, coverage ratios thin, and hyperscalers leverage balance…
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.
U.S. prosecutors are pulling back the curtain on an alleged smuggling ring that quietly funneled cutting-edge Nvidia AI chips out of America and into the hands of rival nations. Prosecutors accuse Alan Hao Hsu and two China-linked associates of running a covert pipeline that moved restricted Nvidia H100 and H200 chips out of the United States, according to the DOJ. According to charging documents, Hsu, along with Benlin Yuan and Fanyue “Tom” Gong, allegedly used straw buyers, falsified paperwork and mislabeled hardware to disguise the true nature and destination of the shipments. Investigators say the group routed the GPUs through…
Ed Yardeni says the center of gravity in the stock market is shifting, and the Magnificent 7 no longer holds the uncontested lead investors assume. Speaking in a Bloomberg interview, Yardeni explains that the competitive landscape has intensified faster than most analysts projected. He points to Google’s latest model release as the first shock to the system, noting that Gemini 3 altered how investors view OpenAI’s position and the companies tied to its ecosystem. “They are competing more aggressively against each other, and they have got more competition coming out of nowhere and somewhere on a regular basis here. We…
A San Jose widow is now at risk of losing her home after fraudsters drained hundreds of thousands of dollars from her by igniting a fake romantic relationship. Margaret Loke says she was pulled into a relationship after meeting someone on Facebook, named Ed, who claimed to be a businessman from Texas and also of Chinese descent, reports ABC7 News. Loke says a friend egged her to message Ed to start a conversation. “She says, ‘Oh this is a nice guy… You just say hi to him, that’s it…’ I say, ‘We are from San Jose,’ and then he said,…
Donald Trump is calling for a unified national framework for artificial intelligence, saying the United States risks losing its lead if companies are forced to navigate a patchwork of state-level requirements. In a fresh post on Truth Social, the US president warns that fragmented oversight would impose impossible hurdles on AI developers, while highlighting that a decentralized approval system would cripple innovation. “There must be only One Rulebook if we are going to continue to lead in AI. We are beating ALL COUNTRIES at this point in the race, but that won’t last long if we are going to have…
Morgan Stanley continues to believe that mega-cap tech stocks will march higher next year, even though hyperscalers are poised to gobble up over $1 trillion in debt. In a new episode of the Thoughts on the Market podcast, Serena Tang, chief global cross-asset strategist at Morgan Stanley, says those comparing the AI boom to the 1990s bubble are well off track, noting that today’s companies are stronger with higher margins and better cash generation. “There are some very important differences from that time period from valuations back then. First of all, I think companies in major equity indices are of…
Bridgewater founder Ray Dalio believes that the long-term impact of AI on the economy is real despite flashing bubble signals. In a CNBC interview in Abu Dhabi, the billionaire highlights that every tech cycle usually edges into bubble territory as investors pile in to ride the wave. According to Dalio, investors shouldn’t dump their positions just because an asset class is in a classic bubble, as markets could still climb higher before the eventual collapse. “Well, I think there’s the investor perspective, and then there’s the user perspective, right? I think it’s important to distinguish the fact that this technology…
President Donald Trump says the United States will permit Nvidia to sell its H200 artificial intelligence chips to China under a new arrangement that sends a quarter of the revenue back to the US government. In a new post on the social media platform Truth Social, Trump says he relayed the broad terms of the agreement directly to Chinese President Xi Jinping, which includes a mandatory payment to the United States. “I have informed President Xi of China that the United States will allow NVIDIA to ship its H200 products to approved customers in China and other countries, under conditions…
JPMorgan Chase CEO Jamie Dimon believes that while AI will eliminate some jobs, the tech cycle will produce more openings amid a multi-trillion-dollar buildout. In a new Fox Business interview, Dimon says the softening labor market this year is due to the cautious stance of Corporate America to hire new employees. The JPMorgan chief executive notes that AI productivity gains have nothing to do with the weak US labor market. “And when you talk to businesses, they’re going to be a little more cautious hiring. That’s not because of AI. That’s just because they want to do more with less,…
SoftBank chairman and CEO Masayoshi Son believes that people calling for an AI bubble need more intelligence. In a new Fil Institute interview with Richard Attias, Son says fears about an AI bubble have been rising following the S&P 500 pullback last month. According to Son, the naysayers are missing the bigger picture on the long-term transformative nature of the technology cycle. “So people ask, is AI a bubble? This is a fundamental question, especially recently when the AI share goes up and down. I would say the people who ask questions about the AI bubble, the people who ask…