For much of the past three years, artificial intelligence has been the market’s defining investment theme. Companies building AI chips, cloud infrastructure, memory, and software have driven earnings growth while many other stocks have struggled to keep pace. That leadership is becoming even more concentrated.
Fresh market data suggests fewer companies are responsible for pushing the Nasdaq higher, raising understandable concerns about how durable this bull market really is. Yet market history also shows that narrow leadership doesn’t automatically signal the end of a rally.
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