Manulife John Hancock Investments co-chief investment strategist Matt Miskin said the AI trade is the most powerful market force he has ever seen in his career, even as a hawkish Federal Reserve and rising US dollar create cross-asset risks. He noted that massive equity and debt issuance by AI-related companies is colliding with the Fed's tightening, which typically generates volatility, but unprecedented liquidity inflows driven by the size of AI stocks relative to the economy have so far absorbed the supply. Miskin pointed to strong semiconductor demand reflected in South Korean exports and falling oil prices as additional supportive factors, while warning that a flattening yield curve could invert again.
NVIDIA CorporationArticle highlights strong semiconductor demand, which benefits NVIDIA as a key AI chip maker.
Manulife Financial Corp