Albert Edwards, Societe Generale's global chief strategist based in London, warned that today's AI enthusiasm carries echoes of the mid-1990s period of excess and cheap capital that bred misallocation of resources.

Torsten Slok, Apollo Global Management's chief economist, published a note arguing that total factor productivity remains weak, even as AI-driven investment activity and lofty equity valuations suggest a boom in progress.

Edwards drew a parallel with Asia's late-1990s crisis and the later U.S. internet bubble, cautioning that the current AI rally could be vulnerable to a similar reevaluation. He acknowledged the possibility that the AI dividend has not yet shown up in productivity data because the phenomenon is still early, but remained skeptical of the non-bubble view.

He also referenced Rob Parenteau, formerly of Allianz, whose analysis indicates gross corporate investment rising quickly while net investment has moved little. If U.S. corporate investment strength is mostly nominal rather than real, Edwards argued, that would support his cautious stance on the AI rally.

In market performance, State Street's technology sector ETF has gained about 40% this year, while the semiconductor-focused ETF has nearly doubled.