The AI Bubble, Global Shipping and Palestine 

Blain’s Morning Porridge October 8th, 2026“Everyone will own a Blackberry by 2015.” Just how much money is the AI boom going to make? No one really knows, but everyone is placing their bets. AI dominates the stock markets, but is beginning to worry many investors in terms of likely returns. While AI technologies are changing the world, what we see today may not be what we get tomorrow if new technologies emerge, and the current valuation metrics change. AI may be distracting us from real economic impacts elsewhere – like shipping costs. Key Takeaways:P/E ratios in the AI suggest it’s not quite as frothy and bubblicious as many commentators fear. Many of the key AI firms are well established, mature diversified businesses. Should returns disappoint losses may not be total.The AI build out is putting companies under strain and commits them to raising debt to finance infrastructure – a factor equity analysts assume will be covered by revenue growth. Maybe not.The capital markets boom in AI infrastructure is similar to the Telecoms boom during the Dot.Com bubble in 2000.European capital markets are overweight funding US AI infrastructure – that is something strategists and politicians should consider: Europe funding AI in America, while underfunding Europe’s parallel tech businesses.Anthropic’s $2 trillion IPO valuation assume future enormous sales growth and profits, but comes at a time when companies are reining back early AI spending to control costs and optimise their use of AI.The AI Boom may be obscuring deepening trouble elsewhere. One such may be shipping where conflict has sent the cost of tankers soaring. That has critical implications for supply chains and trade.Finally, yesterday was October 7th, the anniversary of brutal Hamas attacks on Israel and the escalating war of destruction on Gaza. The cycle of hatred and conflict in the Holy Land has to end. Maybe it’s time to look to the coming Olive Harvest in the West Bank and remember the Olive Branch is a universal symbol of peace. Continued/ go to www.morningporridge.com for access to the full story.If you subscribe to the full Morning Porridge you get the email every morning and links to videos and podcasts…