00:00How do we process this kind of this kind of news about around AI we are experiencing such huge
00:06developments in innovation in capex in the real economy society and obviously in financial markets
00:12and really investors are trying to process the information that comes with it and I think what
00:18is very interesting to note is that already as of today we have seen markets not being skeptical
00:24per se but being a little bit more wary about those markets and we have not seen this from a
00:30price
00:31standpoint so price will continue to behave pretty well and we've seen an incredible surge in q2
00:38after some stabilization earlier on but what we have observed is that we have seen an incredible
00:44earnings growth and that's been forecasted for the futures but actually prices have not kept up with
00:50that so valuations in this market have improved somehow in the past few months and this is a
00:56sign that investors are getting a little bit more wary of you know the delivery of those earnings is
01:02it about the operational element is it about you know how easy it is to actually monetize this enormous
01:09capex that we are seeing or more recently is about broader risk of the technology itself i mean do you
01:15have more questions about ai capex as it relates to the listed markets universe after what we heard
01:23from anthropic open ai and even elon musket x all agreeing that yes we need some sort of slowdown does
01:29that give you reason to think that capex drops or because there's so much capex needed for all the
01:36inference that takes place actually this is fine yeah i think when we're talking about you know further
01:41innovation that sits a little bit at the margin what you're seeing in terms capex developed now
01:46is really to create the infrastructure and the data centers and the uh yeah the infrastructure for
01:51this new system so i think that will most likely continue we have seen that you know developed also
01:57by tapping credit markets um more recently and they've been actually quite well received by investors
02:04there is a level of caution that we are experiencing i think you know the market is being
02:08quite well calibrated in responding to some of those issues um we haven't seen any behavioral response
02:15that could also happen because obviously markets are uh can be behavioral at times we have not seen
02:21that as of yet has been a calibrated response but it's certainly something that we're watching very
02:26carefully what that has meant though is that throughout this year and the last 12 to 18 months in general
02:32we
02:32have seen valuations in the u.s market um getting closer to the rest of developed markets and this
02:39is something that we were observing very closely because this gap was very significant so other markets
02:44outside the u.s in developed markets were significantly more attractive from a valuation standpoint but
02:49today that gap has closed and that is something that we're monitoring very closely
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