Be honest: How many of you still believe we're not in an AI bubble that's already started to burst?
I'm convinced that a majority of investors are already worried about a repeat of the dot-com crash, which took more than 15 years for the market to fully recover from.
The AI bubble could be even worse. Once the crash is in full swing, investors may lose confidence in the entire stock market immediately. People could sell their holdings and move their money out in droves, regardless of sector. The remaining employer-sponsored 401(k) investments alone won't be enough to offset the trillions of dollars that could leave brokerage accounts.
Even traditionally defensive sectors will collapse. At the end of the day, it all comes down to investor confidence. Once that confidence is broken, no sector will be safe.
I'd love to be proven wrong.