AI may generate only half the profit needed to justify the investment, Goldman analyst warns

The S&P 500 hit a new record high yesterday, up 0.62% at 6,944.82. Futures are marginally down this morning, as might be expected from traders who want to sell up and lock in some of those gains. The STOXX Europe 600 also hit a new high yesterday and was flat in early trading this morning.

Much of the bullishness is coming as analysts realize that the massive amounts of capital expenditure (capex) on building out AI data centers isn’t likely to stop anytime soon.

The result of...