ANALYSIS-AI-driven inflation is 2026's most overlooked risk, investors say

FILE PHOTO: AI (Artificial Intelligence) letters and robot hand are placed on computer motherboard in this illustration created on June 23, 2023. REUTERS/Dado Ruvic/Illustration/File Photo

LONDON/NEW YORK, Jan 5 (Reuters) - Global stock markets, ‌riding high on 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.

U.S. stock indexes, 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.