AI is the stock market’s ‘new growth thing,’ Citi says

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Citigroup Inc. remains optimistic about the second\u002Dwave of AI breakthroughs. Find out more.

“What we think happens more broadly is an acceleration of a trend already underway, where the bulk of Corporate America is utilizing the technology as a way of better managing their business on a real-time basis, which actually means less earnings volatility and probably even less cyclical volatility,” he said.

The excitement about artificial intelligence was a key pillar of the stock market’s rally this year, turning Nvidia into the best-performing stock in the S&P 500 index as the share price tripled on the back of sales of its high-powered computer chips to companies investing in the technology. To start the week, the S&P 500 was headed toward its first back-to-back gain this month, with Nvidia among the top drivers of the advance.

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AI Is the Stock Market’s ‘New Growth Thing,’ Citi’s Chronert SaysCitigroup Inc. strategist Scott Chronert says the first-wave of artificial-intelligence breakthroughs lifted the stocks of companies like Nvidia Corp. that are at the center of it all. The second will elevate the market at large.
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