Fed Flags AI Investment Risks Without Declaring a Bubble

The Federal Reserve is a group of people who help keep America's money and banks safe.

They are now looking carefully at something called artificial intelligence, or AI.

AI is a type of smart computer that can learn new things.

Companies are building huge buildings full of these special computers, called data centres.

These buildings cost a lot of money to build, and some companies borrow money to pay for them.

The Fed worries that if too much borrowed money flows into these projects, it could cause problems.

If a big project fails, the people and banks who lent the money could get hurt.

The Fed wants to stop these problems before they get too big.

Right now, the Fed says it does not think this is a big bubble yet, but it is watching very closely.