Goldman Sachs Warns An AI Slowdown Can Tank The Stock Market By 20%

Artificial intelligence has prompted the stock market to its highest levels ever, but Goldman Sachs (NYSE: GS) recently warned that once Amnesty International spending, the stock market can wear 20 %. A research note from Goldman Saca Ryan Hammond analyst was martyred at the risk of hyper excess of artificial intelligence, according to Fortune.

Hammond wrote in the research note: “The long -term growth estimates to 2023 levels in early 2023 mean 15 % to 20 %, along with the current evaluation of S&P 500 complications.”

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Currently, artificial intelligence spending is a complete steam, but Hammond wrote that some analysts assume that a sharp slowdown will happen in the quarter of 2025 and 2026.

Technology giants did not get the memo. Meta (Nasdaq: Meta) said this week that it will spend $ 600 billion on artificial intelligence over the next three years. Zuckerberg later posted on strands that the company could invest more than $ 600 billion during those three years. He even said that “a much higher number” was likely to be at the end of the contract.

Microsoft (NASDAQ: MSFT) made another big deal of artificial intelligence this week by securing a five -year infrastructure with a value of $ 17.4 billion with Nebius (NASDAQ: NBIS). This type of rapid spending indicates that the growth of artificial intelligence can continue after the current assembly.

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Artificial intelligence plays an important role in performing the stock market based on the best companies in the main standards such as the S&P 500 and NASDAQ. The data from SlickChart shows that the best beneficiaries of NVIDIA (NASDAQ: NVDA) make up about 7 % of S&P 500.

All eight companies circulated publicly on the S&P 500 are largely invested in artificial intelligence. They increase the spending of artificial intelligence and aim to issue products and services that use artificial intelligence. These eight companies make up more than 36 % of S&P 500.

There are also giants for companies outside the 10 best S&P 500 that are still investing heavily in artificial intelligence. Oracle (Nyse: ORCL), Palantir (Nasdaq: PLTR), and Cisco (Nasdaq: CSCO) is one of the most prominent S&P 500 members in this category.