AI boom could bust global markets, warns Bank of England

Business Oct 08, 2025

The Bank of England just sounded the alarm: if the current excitement (and cash) pouring into artificial intelligence suddenly slows down, global markets could get shaky.
Right now, investors are piling into AI stocks, pushing the US market up and sending gold to a record $4,000 per ounce as people look for safer bets.

AI hype vs reality

The Bank also pointed out that five largest companies now make up 30% of the US S&P 500's value—the highest in 50 years—which makes the market more vulnerable if things go south.
Plus, most companies using AI (about 95%, according to MIT) still haven't seen real returns yet.
If AI doesn't live up to the hype, it could mean trouble for everyone counting on it to keep markets strong.