[Fed Report: 87% of Respondents View AI as a Major Risk to the Financial System] According to CNBC, the Federal Reserve released its semi-annual Financial Stability Report on Friday. The survey revealed that 87% of respondents listed artificial intelligence (AI) as a "significant risk" to the financial system, up from 50% in the spring survey and far exceeding the second-ranked risk asset correction (52%). Respondents were primarily concerned about high AI-related stock valuations, cybersecurity risks posed by cutting-edge AI models, and complex AI-related financing. The report also noted that hedge fund leverage is at its highest level since 2013.