Last week was a real-world example of what a scenario might look like when artificial intelligence goes from a growth catalyst to a direct threat to high-fee business models. Signs of disruption from artificial intelligence began to creep noticeably into the behavior of Wall Street investors, as sales operations expanded to include sectors previously thought to be immune to technology, from software to wealth management to transportation and logistics services.
Who is under the most pressure?
Given these concerns, both the S&P 500 and Nasdaq ended last week down more than 1%. The Dow Jones fell 1.2%. The Nasdaq fell 2%, and the S&P 500 fell about 1.4%. Financials, consumer staples and technology stocks were under the most pressure due to growing concerns about the impact of artificial intelligence.
“This is the dark side of artificial intelligence,” said Tim Urbanowitz, chief investment strategist at one of the expert groups. “We have to be careful because more industries will be disrupted and this threat is real.”
Signs of AI disruption entered Wall Street investor behavior more noticeably last week, with sell-offs extending to sectors previously thought to be insulated from technological influence, from software to asset management to transportation and logistics, providing a real-world example of what a scenario could look like in which artificial intelligence moves from a growth booster to a direct threat to high-fee business models.
Who is under the most pressure?
Amid these concerns, the S&P 500 and Nasdaq both ended last week down more than 1%. The Dow Jones fell 1.2%. Meanwhile, the Nasdaq fell 2% and the S&P 500 fell about 1.4%. The financial, consumer and technology sectors were under the most pressure due to growing concerns about the impact of artificial intelligence.
“This is the dark side of artificial intelligence,” said Tim Urbanowitz, chief investment strategist at the professional group. “More industries will face disruption in the coming years, and we need to pay attention because this threat is real.”
