Summary

• The current AI-driven rally in infrastructure and chip stocks echoes late-stage dot-com and 2021 bubbles, with parabolic moves and signs of euphoria.
• QQQ and leading hyperscalers have surged despite only mild oversold conditions, ignoring macro and monetary policy risks.
• Many high-profile tech stocks, including INTC and CRWV, trade at extreme valuations despite weak or negative profitability, mirroring past speculative peaks.
• I expect a near-term pullback or correction, with more intermediate term upside, and a more significant downturn as AI spending and profitability expectations become unsustainable further down the line.
• Looking for a helping hand in the market? Members of The Financial Prophet get exclusive ideas and guidance to navigate any climate. Learn More »

It's been quite remarkable, the recent rally. We've witnessed many AI-infrastructure stocks, the hyperscalers, the chip stocks, and other areas in the market skyrocket in a relatively short time frame. Heck, the Nasdaq 100 (QQQ) ETF jumped by a

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