The Stock Market Just Flashed a Warning Sign Only Seen Once Before in 155 Years -- and History is Very Clear About What Happens Next.
Will the S&P 500's gains continue?
Overview
The S&P 500 has been on fire in recent years, rocketing higher amid enthusiasm about artificial intelligence (AI) companies -- investors have seen this technology as the next big revolution, likening it to the printing press, the telephone, and the internet. The idea is that AI may transform the way many things are done across the business world and even throughout our daily lives. The result could be significant earnings growth for the developers and users of this hot technology.
Some companies have offered us a taste of this potential. Chip designer Nvidia and cloud computing player Alphabet are good examples, as their offerings of AI products and services have supercharged growth. As a result, investors have piled in, sending these stocks to triple-digit gains over the past three years.
Details
But, against this exciting backdrop, trouble could be brewing. In fact, the stock market just flashed a warning sign only seen once before in 155 years -- and history is very clear about what happens next.
Source
Originally published at www.fool.com.