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Economy News

The Economic Times

Economy / The Economic Times

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Is the AI boom losing steam? Global economy faces growing risks

Global financial markets face mounting pressure from geopolitical conflicts, rising government debt and trade tensions, raising concerns about the resilience of the global economy. While the AI investment boom has driven stock markets to record highs and supported growth expectations, rising borrowing costs, inflation, weakening currencies and the prolonged Iran war threaten to undermine investor confidence and expose deeper vulnerabilities.

3 Nov 2026 3:28 pm