{"id":562464,"date":"2026-05-02T13:38:07","date_gmt":"2026-05-02T13:38:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/562464\/"},"modified":"2026-05-02T13:38:07","modified_gmt":"2026-05-02T13:38:07","slug":"im-getting-ready-for-an-ai-driven-stock-market-crash","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/562464\/","title":{"rendered":"I&#8217;m getting ready for an AI-driven stock market crash"},"content":{"rendered":"<p><img width=\"1200\" height=\"800\" src=\"https:\/\/www.newsbeep.com\/uk\/wp-content\/uploads\/2026\/05\/Shambles-1200x800.jpg\" class=\"attachment-full size-full wp-post-image\" alt=\"A rear view of a female in a bright yellow coat walking along the historic street known as The Shambles in York, UK which is a popular tourist destination in this Yorkshire city.\" decoding=\"async\" fetchpriority=\"high\"  \/><\/p>\n<p>Image source: Getty Images<\/p>\n<p>Global stock markets have been surprisingly resilient of late. Despite conflict in the Middle East and elevated oil prices, major indexes are near all-time highs.<\/p>\n<p>I wouldn\u2019t rule out a sharp fall in the near future though. Because right now, there are some risks on the horizon.<\/p>\n<p>Should you buy Rolls-Royce Plc shares today?<\/p>\n<p style=\"margin-top:var(--wp--preset--spacing--60)\">Before you decide, please take a moment to review this report first. Despite ongoing uncertainties from Trump&#8217;s tariffs to global conflicts, Mark Rogers and his team believe many UK shares still trade at substantial discounts, offering savvy investors plenty of potential opportunities to learn about.<\/p>\n<p style=\"margin-top:var(--wp--preset--spacing--60)\">That&#8217;s why this could be an ideal time to secure this valuable research \u2013 Mark&#8217;s analysts have scoured the markets to reveal 5 of his favourite long-term &#8216;Buys&#8217;. Please, don&#8217;t make any big decisions before seeing them.<\/p>\n<p>AI could create problems<\/p>\n<p>I was never too worried about the impact of the Middle East conflict on the markets. Because history shows that geopolitical-related downturns tend to be short-lived.<\/p>\n<p>I\u2019m a little bit concerned about another issue however, and that\u2019s artificial intelligence (AI). The way I see it, there are two ways AI could fuel a market meltdown. One\u2019s a sharp drop in all the AI infrastructure stocks that have soared recently. Moves in this area of this market have been crazy.<\/p>\n<p>For example, AMD, Micron, and SanDisk are all up more than 50% over the last month. If these names were to come crashing down, it could have implications for the broader market.<\/p>\n<p>Perhaps the bigger AI-related risk though is white collar job losses. This scenario was highlighted in a recent research report from Citrini Research. Right now, firms are laying off workers due to tech efficiencies at an unprecedented rate. For example, tech giant Meta Platforms just announced that one in 10 staff will be laid off.<\/p>\n<p>What if we were looking at unemployment levels of 10%-15% in the next few years? Would the stock market still sit at high levels?<\/p>\n<p>I doubt it.<\/p>\n<p>What I\u2019m doing now<\/p>\n<p>Now, I\u2019m not saying that it\u2019s time to get out of stocks. I\u2019ve actually been buying shares for my portfolio in recent weeks because I\u2019ve spotted some great opportunities.<\/p>\n<p>But I do think it\u2019s worth preparing for a meltdown just in case. That means having the right asset allocation for your risk tolerance, diversifying across different sectors, and having a strategic plan for a market pullback.<\/p>\n<p>That\u2019s what I\u2019ve been doing recently. I\u2019ve been adjusting my asset mix so that it\u2019s more in line with my risk tolerance (which isn\u2019t as high as it used to be) and diversifying into defensive sectors such as <a href=\"https:\/\/www.fool.co.uk\/investing-basics\/market-sectors\/investing-in-healthcare-stocks-in-the-uk\/\" rel=\"nofollow noopener\" target=\"_blank\">healthcare<\/a> and <a href=\"https:\/\/www.fool.co.uk\/investing-basics\/market-sectors\/investing-in-defence-stocks-in-the-uk\/\" rel=\"nofollow noopener\" target=\"_blank\">defence<\/a>.<\/p>\n<p>I\u2019ve also been updating the list of stocks that I\u2019d like to buy if the market falls. That way, if compelling opportunities emerge, I\u2019ll be ready to strike.<\/p>\n<p>What\u2019s on my Buy list?<\/p>\n<p>One name on that list is Rolls-Royce (<a class=\"tickerized-link\" href=\"https:\/\/www.fool.co.uk\/tickers\/lse-rr\/\" rel=\"nofollow noopener\" target=\"_blank\">LSE: RR.<\/a>). This is a stock I\u2019d be keen to snap up at a discount. It could face a few challenges in the near term as airlines cut back on flights to conserve fuel (this could impact its engine servicing revenues). But in the long run, there\u2019s plenty of growth potential due to the company\u2019s exposure to the defence and nuclear markets.<\/p>\n<p>On the defence front, NATO countries are set to ramp up their spending on defence significantly between now and 2035. This should provide strong tailwinds for the engine maker.<\/p>\n<p>As for nuclear, it\u2019s the growth of the small modular reactor (SMR) market that excites me here. It\u2019s worth noting that last month, the company signed a major SMR deal with CEZ Group to build a unit in the Czech Republic.<\/p>\n<p>Overall, the long-term growth story looks very attractive, in my view. So I\u2019d love to be able to buy the stock during a period of market weakness.<\/p>\n","protected":false},"excerpt":{"rendered":"Image source: Getty Images Global stock markets have been surprisingly resilient of late. Despite conflict in the Middle&hellip;\n","protected":false},"author":2,"featured_media":562465,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[554,733,4308,86,56,54,55],"class_list":["post-562464","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-technology","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/562464","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=562464"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/562464\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/562465"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=562464"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=562464"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=562464"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}