AI powers tech stocks to their strongest start to a year since 1983

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The AI boom just powered tech stocks to their strongest start to a year since 1983

But some analysts believe that the Nasdaq's sensational early-2023 run won't last over the second half of the year, warning investors to take some profits now ahead of a potential correction in AI stock valuations.

"We don't believe the AI trend is a bubble but advise investors to be selective on AI-related stocks after the strong year-to-date rally," UBS Global Wealth Management equity strategist Sundeep Gantori said in a recent research note.over the first half of 2023 – because when interest rates stop rising, returns from investment avenues such as savings accounts tend to plateau, prompting investors look at other options such as stocks.

 

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