The vast surge of investment in AI, which has powered global stock markets to record highs, risks ending in a financial bust, the Bank for International Settlements warns, as the build-up’s hidden costs begin to surface in company accounts and consumer prices alike.

Recent swings in tech stocks are reviving fears of an AI bubble - and some experts warn that if it pops, the fallout could be bigger than anything Wall Street has ever seen.

Bank for International Settlements says AI funding is funnelled through loosely regulated private credit channels, raising stability fears.

Rising debt, AI uncertainty and inflation threaten the global economic outlook

The Bank for International Settlements (BIS) has cautioned about the financial dangers linked to the rapid growth of AI, pointing to issues of overinvestment and high valuations.…

Macquarie expects the AI investment boom to unwind through a series of "rolling bubbles" rather than a single crash, as different segments of the AI ecosystem heat up and cool…