Rallying markets like to shoot, or in this case buy, and ask questions much later or never - and certainly not until it is far too late, everything has crashed, and the fingerpointing and crying are all that's left, at which point the only question on the market's mind is why did nobody ask any questions earlier.
The latest example of this of course is the 3D TV, fake meat, virtual reality, the metaverse, blockchain, chatbot (aka AI) bubble, where a handful of supergiant firms are adding hundreds of billions in market cap every single day because of some algo glitch where the market believes their revenue growth is virtually unlimited because somehow other companies have trillions and trillions in capital spending power which they will - in a zero sum circle jerk - give to the five biggest companies in the world, making them even bigger in the process.
Luckily, almost two years after ChatGPT 3.5 was first released and almost a century after modern AI first emerged, some are finally starting to ask questions. And in the latest Top of Mind note from Goldman, the bank goes actually asked the question whose negative response would lead to an immediate market crash: is there too much spending on AI, and too little benefit? (available to pro subscribers).
