AI stocks set to fall after major firms call for AI slowdown, Fefe Demeny warns

AI stocks set to fall after major firms call for AI slowdown, Fefe Demeny warns
AI stocks face risk on slowdown fears

Fefe Demeny warns that AI stocks could experience a sharp decline as major AI companies have simultaneously called for a slowdown in AI development over the weekend.

Demeny adds that risk-off sentiment may dominate, particularly if the U.S. Federal Reserve hikes interest rates or signals future rate increases at its meeting on Wednesday.

Earlier this month, Fefe Demeny described a scenario in which several bullish factors drove Bitcoin and altcoins higher, cautioning that bearish investors could be left behind in the rally. Details of this view appeared in a previous article. Demeny’s recent comments on AI mark a shift in focus to potential risks facing technology shares.

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