AI Excitement Fuels Technology Stock Rally – BNP
![Investing In AI Elevators Technology Stock Rally](https://www.valuewalk.com/wp-content/uploads/2023/03/Artificial-Intelligence-AI-300x150.jpeg)
Despite a slowdown in IT spending, US technology stocks are driving the recent rally in US equity markets. There is optimism among some investors that that technological advances mean this time could be different. Hopes are particularly high about the latest developments in artificial intelligence.
Listen to this Talking Heads podcast with Derek Glynn, Associate Portfolio Manager for information technology (IT) and communication services in the US equities team in Boston, and Andrew Craig, Co-head of the Investment Insights Centre as they discuss the outlook for secular growth and the role of technological advances further effecting profound changes in the way we live, work and play.
Among the themes they cover are the prospects for spending on cloud tech, a renewed focus among IT companies on profitability and margin expansion, and the wave of innovation – and growth – expected to be set off by (generative) artificial intelligence. “AI may be overhyped in the short run, but it looks underhyped in the long run,” comments Derek, adding its longer-term impact could be reminiscent of the advent of the internet and smart phones. “Investors should pay close attention.”
Article by Derek Glynn, Andrew Craig – BNP Paribas
Source valuewalk