Whatever you’re worried about always seems to happen—AI tech companies in the US stock market saw after-hours trading collectively drop over the weekend ! This comes after Anthropic published a lengthy article calling for the global AI industry to voluntarily slow down the development of the most advanced models. Shortly after, the three major US AI giants expressed their support for slowing down the pace of expansion. As the news spread, after-hours trading for a slew of AI hardware stocks in the US market came under pressure and dropped! Beyond the safety concerns, there’s another issue: funding costs. With the 10-year US Treasury yield (risk-free rate) hitting a near-record high of 5.1%, the AI sector’s debt-financing model is no longer sustainable. Equity financing, a practice typically protective of shareholders in the US, is also becoming increasingly difficult to execute. The only certainty now is reducing capital expenditures—it’s just a matter of time! The sooner this day comes, the better—whether for safety considerations or financial pressures. Actively deflating the bubble is good for the market! Plus, it’s a new buying-the-dip opportunity! This post is sponsored by @binancezh: “Buy US stocks on Binance: Global assets, zero time lag, just one click away!”