Underrated threat of AI-driven inflation 


GLOBAL stock markets, riding high on artificial intelligence (AI) euphoria at the start of 2026, may be disregarding one of the biggest threats that could spoil the party: a surge in inflation driven partly by the tech investment boom.

US stock indices, where seven tech groups contributed half of all market earnings this year, made double-digit gains in 2025 to hit record highs as exuberance about AI and monetary easing also propelled European and Asian equities to record peaks.

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