Bloomberg Surveillance · Wednesday, July 29, 2026
The AI trade has become pervasive, extending beyond traditional tech sectors into areas like emerging markets, utilities, and real estate, according to one speaker. This broad reach is contributing to a market rotation, with investors looking towards financials, small caps, and value stocks as alternatives to the AI-centric trade.
“It's hard to find an area of the market that's not an AI trade, right. It used to be emerging markets. That's as far as you can go. Now emerging markets is an AI trade. You know, utilities are an AI trade. Real estate is an AI trade. I mean, where do you go that's not an AI trade?”
“And I think that's kind of the rotation that Lisa was talking about, Like there's other stuff putting up good growth and accelerating growth at a time when there's people are starting to think about the risk associated with AI. And I think financials are part of that. Small caps are part of that. Values are part of that.”