The market may be underestimating the biggest threat to the AI boom: financing costs. As inflation concerns strengthen and Treasury yields remain elevated, the Federal Reserve has less room to support expensive valuations. Goolsbee’s warning that AI-driven inflation is spreading beyond data centers adds another layer of risk.

The deeper concern is that AI infrastructure spending increasingly depends on debt, while productivity gains have yet to justify the investment. If borrowing costs rise faster than AI revenues, even promising companies could face painful repricing.

My view: AI is not necessarily a bubble, but its financing model deserves scrutiny. The next winners may not be companies spending the most on AI, but those converting that spending into sustainable cash flow. Revenue growth attracts attention; profitable growth determines survival.

@AI_FocusedTrader [贱笑]