Citi’s research suggests that the recent surge in stock prices, driven largely by the artificial‑intelligence (AI) boom, could keep moving higher for some time. “The AI bubble is not over yet” said Dirk Willer, head of macroeconomics and asset allocation at Citigroup, to the “Handelsblatt Invest” podcast on Wednesday.

Willer, who witnessed the dot‑com bubble of the early 2000s in New York, believes that market exuberance will re‑emerge. “The more impressive the technology, the more people over‑invest” he remarked.

Given the enormous AI‑related spending by the big U.S. tech firms, it’s understandable that investors are seeking greater diversification. However, Willer cautioned that a burst in the tech bubble could drag most asset classes lower. “If a tech bubble collapses, almost all assets will decline” he warned.