![\"\"\/](\"https:\/\/s3-symbol-logo.tradingview.com\/nvidia.svg\"){kind=logo}
NVDA<\/a>, and said the outlook for many such stocks remained solid.<\/p>\n“Is there going to be potentially more subdued performance in those stocks (heading into 2026)? Yeah, but I mean, they’ve been gangbusters and it’s hard to maintain that,” he added. <\/p>\n
Oracle, on Thursday, declined to comment on its share price move or the AI trade. Broadcom did not immediately respond to a request for comment on Friday.<\/p>\n
MORE SCRUTINY<\/p>\n
Investors have been growing more picky in the AI space, some market participants said, with less willingness to indiscriminately reward spending on AI.<\/p>\n
“You’ve seen this really positive correlation between really aggressive capital spending and stock prices … That has changed pretty significantly beneath the surface over the last couple of months,” said Mark Hackett, chief market strategist at Nationwide.<\/p>\n
In late November, Meta Capital spending, a crucial component of the AI trade, has propelled equities following the launch of AI assistant ChatGPT in November 2022.<\/p>\n “I think a leadership shift is absolutely warranted and it’s underway. But that doesn’t mean the AI story switches off like a light switch,” Hackett said.<\/p>\n SHORT STORY<\/p>\n Even investors who question the AI trade are wary of betting against it.<\/p>\n “I believe today the stock market is in a phase that could become a blow-off top of extreme magnitude on the upside,\u201d Burry, the famed investor whose successful 2008 bets against the U.S. housing market were dramatized in the movie “The Big Short,” wrote in a post.<\/p>\n Burry recently stepped up criticism of tech heavyweights including Nvidia Two leading U.S. fund managers, who requested anonymity, said worries about a bubble are exaggerated. They said Big Tech “hyperscalers” were still struggling to meet unrelenting demand for more data centers.<\/p>\n “Across our basket of 61 AI-related stocks, we don\u2019t yet see positioning that looks like investors aggressively betting on an AI bubble bursting,” said Peter Hillerberg, cofounder at data and analytics company Ortex Technologies.<\/p>\n Investors have shown a pick-up in appetite to short the smaller and mid-cap AI names, yet the largest AI beneficiaries remain only lightly shorted, Ortex data showed as of Thursday.<\/p>\n “We have seen stock-specific spikes in short interest around earnings and headline risk in certain AI-linked names, including Oracle, and some of those trades will naturally look smarter after sharp post-results moves,” Hillerberg said.<\/p>\n “But taken together, the data look more like targeted skepticism in individual AI stories than a broad, coordinated attempt to call the top of an AI bubble.”<\/p>\n","protected":false},"excerpt":{"rendered":"By Saqib Iqbal Ahmed and Lewis Krauskopf The red-hot trade backing artificial intelligence-related stocks has taken a bruising…\n","protected":false},"author":2,"featured_media":170723,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[365,363,364,111,139,69,145],"class_list":["post-180952","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-new-zealand","tag-newzealand","tag-nz","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/180952","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=180952"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/180952\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/170723"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=180952"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=180952"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=180952"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}![\"\"\/](\"https:\/\/s3-symbol-logo.tradingview.com\/meta-platforms.svg\"){kind=logo}
META<\/a> shares slumped 11% after the Facebook and Instagram parent forecast “notably larger” capital expenses next year due to AI investments, including aggressively building data centers.<\/p>\nNVDA<\/a> and Palantir Technologies ![\"\"\/](\"https:\/\/s3-symbol-logo.tradingview.com\/palantir.svg\"){kind=logo}
PLTR<\/a>, questioning the cloud infrastructure boom. He has a short position on Palantir.<\/p>\n