IMF Warns of Systemic Risk
6h
The IMF warned banks faced $4.5 trillion of exposure to hedge funds and private credit and cautioned that an AI-fueled rally left US equities roughly 10% overvalued, risking a bubble.
by Prem Sikka
Reposted by Andrea Presbitero
Reposted by Rodney Fort
Is #AI the century's third speculative bubble? Yes, say SIEPR's @jaredb-econ.bsky.social and @weakinstrument.bsky.social in a @nytimes.com op-ed. They lay out the reasons and examine whether the fallout could be better or worse than the internet, housing bursts. Free link 👇
tinyurl.com/nhjcm62v
tinyurl.com/nhjcm62v
Opinion | The A.I. Bubble Looks Real
The A.I. boom is likely a speculative bubble. Like the dot-com bust and the housing crisis, its pop is going to hurt.
tinyurl.com
IMF - “Excessively optimistic growth expectations about AI could be revised in light of incoming data from early adopters and could trigger a market correction…
A potential bust of the AI boom could rival the dot-com crash of 2000–01 in severity".
www.bbc.co.uk/news/article...
A potential bust of the AI boom could rival the dot-com crash of 2000–01 in severity".
www.bbc.co.uk/news/article...
UK forecast to be second-fastest growing economy in G7 - IMF
The International Monetary Fund (IMF) has upgraded the rate at which the UK economy will grow this year.
www.bbc.co.uk
Michael Roberts on the AI bubble and the US economy thenextrecession.wordpress.com/2025/10/14/t...
The AI bubble and the US economy
The US stock market continues to hit new record highs; the bitcoin price is also close to highs and the gold price has rocketed to all-time highs. Investors in financial assets (banks, insurance co…
thenextrecession.wordpress.com