The ‘dumb money’ steps in as traders lose $1 trillion on the realization that AI will eat tech companies first

S&P 500 futures were flat-to-up this morning before the markets opened in New York, a sign that traders may be temporarily sated after the carnage they wreaked in the stock markets over the last few days. The index fell 0.51% yesterday, closing at 6,882, after spending much of the previous month flirting with the 7,000 level.

Markets were flat or down globally this morning, with the worst performer being South Korea’s KOSPI, which lost 3.86%.

The damage came from the tech and software sector...