Ray Dalio Warns AI Bubble Nears Bursting Point

Ray Dalio thinks investors are putting a lot of money into artificial intelligence.

He says some of that spending is being paid for with borrowed money.

If interest rates rise, borrowing becomes more expensive.

That could make it harder to pay for AI projects and may hurt markets.

Dalio says people may also need to sell investments to get cash, which could add pressure.

But many investors remain hopeful about technology companies.

That optimism helped two major US stock indexes reach record highs that week.

Dalio warned that a market drop could happen, but he did not say exactly when.